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NOVEMBER 2015 | $3.50 BUSINESSINEDMONTON.COM

CARRYING THE LOAD:

BRUNO MULLER HAULS CARON TRANSPORTATION SYSTEMS FROM ACQUISITION TO SUCCESS STORY

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Supporting the visions of entrepreneurs one story at a time.

Volume 4 | Number 11

REGULAR COLUMNS

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Principles for Smart Climate Change Policy

By Josh Bilyk

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Urbanomics Urban Development Discussion: Edmonton’s Uniqueness and Differences

By John Hardy

CONTENTS

31

dmonton Chamber of E Commerce

COVER FEATURE

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Carrying the Load Bruno Muller Hauls Caron Transportation Systems from Acquisition to Success Story

By Nerissa McNaughton

ON OUR COVER: ABOVE: BRUNO MULLER PHOTO SOURCE: EPIC PHOTOGRAPHY INC.

RIGHT: CARON TRANSPORATION TRUCK PHOTO SOURCE: EPIC PHOTOGRAPHY INC.

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STORY TITLE // SECTION

Supporting the visions of entrepreneurs one story at a time.

Volume 4 | Number 11

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THIS MONTH’S FEATURES

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The Reality of Data Security: How at Risk are we?

Some of the biggest threats to modern business can be found lurking in the online world. How can we protect ourselves, and how big is the risk, really?

By Rechell McDonald

CONTENTS

39

By Brittany Kraus

44

COMPANY PROFILES

59 65

Going Green: Business for a Better Earth

Architecture in Edmonton: Finding Ways to Blend History with the Future The key to more responsible building practices, and a sustainable future may very well lie in the building traditions of the past.

By Rechell McDonald

S entinel Storage

Sentinel Stands Strong for 40 Years

U niverse Machine

48

Half a Century Strong

Yee-haw! CFR and Farmfair Ride into Town Saddle up and get ready for two of Edmonton’s oldest western-themed events.

By Nerissa McNaughton

51

he New MNP Tower T Stands Tall

By Nerissa McNaughton

52

I nvesting in an Uncertain Economy Financial Planners tell us how to protect and grow our money in a shaky economy.

By Laura Bohnert

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HRIA - Alberta HR Trends Report

© 2015 Ernst & Young LLP. All Rights Reserved.

Join us in congratulating the Prairies’ brightest entrepreneurial stars! ey.com/ca/eoy | @EYCanada #EOYPrairies

Prairies Regional and Business-to-Consumer Products and Services Winner

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Patrick Priestner AutoCanada Inc. | Edmonton

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Agricultural and Environmental Innovation

Professional and Financial Services

Dr. Jianhua Zhu BioNeutra Global Corporation | Edmonton

Shannon Bowen-Smed BOWEN | Calgary

Business-to-Business Products and Services

Real Estate and Construction

Christopher Micetich NAEJA Pharmaceutical Inc. & Fedora Pharmaceuticals Inc. | Edmonton

Bob Dhillon Mainstreet Equity Corp. | Calgary

Technology and Communications

Emerging Entrepreneur

Geoffrey Thompson Vintri Technologies Inc. | Calgary

Todd Van Vliet Frac Shack Inc. | Acheson

Special Citation — Social Entrepreneur

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Alfred Nikolai Habitat for Humanity Edmonton | Edmonton

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The Family Business Award of Excellence

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PRINCIPLES FOR SMART CLIMATE CHANGE POLICY // ECONOMIC FACTORS

Principles for Smart Climate Change Policy

BY JOSH BILYK

T

he Alberta government is going to do something on climate change. Just what that something is, we do not know. It’s safe to say, however, that it won’t be cheap and we’ll all pay for it.

During the election the NDP pledged to make Alberta a climate leader, and within a couple months of the election established the Climate Change Advisory Panel. The government will look at an array of policy tools that will help reduce Alberta’s emissions – which may include guaranteed prices for solar and wind, carbon taxes “cap and trade” and a variety of other mechanisms.

Climate action by the province is inevitable, so perhaps we should set down some general principles to guide the provincial government as it embarks on this policy adventure.

1. Whatever the government does on GHGs, it should be revenue neutral for government. Alberta business and individuals have already been hit with tax increases. On the business side, a 20 per cent hike in corporate taxes and a doubling of the industrial carbon levy are hitting industry when they can least afford it. A good start would be rolling back the corporate tax hike and increasing the basic personal exemption so low income earners are protected from rising energy bills.

2. A price on carbon should apply to everyone and everything – not just industry. We know that 80 per cent of emissions come out the tail pipe – and not from processing hydrocarbons. Climate change is consumer-driven problem.

Any carbon pricing policy adopted by the province should treat carbon emissions of any kind the same. For guidance,

look to British Columbia where carbon tax applies to the purchase or use of fuels such as gasoline, diesel, natural gas, heating fuel, propane and coal, and to peat and tires when used to produce energy or heat. They also commit to returning every penny collected to taxpayers through significant income tax reductions and other credits.

3. Reject complicated cap and trade systems that would transfer Alberta’s prosperity to other jurisdictions. We supply energy for consumers around the world and we shouldn’t be penalized for it. We applaud Premier Notley’s position that Alberta would opt out of any program that transferred dollars out of the province.

4. Don’t pick winners and losers in the energy market and avoid subsidies of any kind. The market and technology will decide how power is generated for Albertans – not politicians. Look no further than Ontario, which, after much political meddling, is seeing soaring power rates. If wind power can compete with coal or natural gas once a price on carbon is set, so be it.

5. Don’t kick industry when it’s down. Alberta is a fossil fuel producing province. Many Canadians rely on it for their livelihoods. Any policy adopted in Alberta should guarantee the global competitiveness of our industry. That might mean adjustments on the resource royalty side to offset the increased costs associate with a price on carbon.

Climate action doesn’t have to be a negative for Alberta’s business climate. We just need to maintain a competitive advantage and keep Alberta growing.

Alberta Enterprise Group is a member-based, non-profit business advocacy organization. AEG members employ more than 150,000 Canadians in all sectors of the economy. Visit www.albertaenterprisegroup.com to inquire about membership in the AEG movement.

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NOVEMBER 2015 // BUSINESS IN EDMONTON // BUSINESSINEDMONTON.COM

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EDMONTON’S UNIQUENESS AND DIFFERENCES // URBANOMICS

U R B A N O M I C S | U R B A N D E V E LO P M E N T D I S C U S S I O N

Edmonton’s Uniqueness and Differences It’s a very dynamic time in housing.

BY JOHN HARDY

I

n many ways business in Edmonton, particularly the housing and new home building business, is unique. One key difference, and a unique Edmonton constant, is the market as “a region” instead of “a city.”

“It provides some healthy competition for the different municipalities,” explains Jason Sutton, president, Canadian Home Builders’ Association-Edmonton Region and director of sales and marketing for Edmonton’s Landmark Group of Companies. “The City of Edmonton administration understands the need to maintain high levels of performance and collaboration with private businesses, given the knowledge there are other surrounding municipalities looking for investment to build a stronger tax base and grow their communities. The competition for construction, business investment and housing keeps our municipalities in check and provides various options for investment.”

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buyers, young professionals, families of varying sizes, and empty nesters. An interesting trend is the ever-increasing downsizers, the established home owners who no longer need the 2,000-plus square foot homes. They’re looking for something smaller with lower maintenance. Many younger buyers are looking for some of the same things: smaller homes, less maintenance, access to public transit, location to amenities. Energy efficient smart homes are also popular. It is a very dynamic time in housing.”

Although the Edmonton home building industry continues to be strong and strategic, area builders and developers are now confronting factors that are not necessarily within their control.

In Edmonton, and most North American new home areas, the cliché is still solid: a home is the largest purchase a family makes; and new home building is also one of the most consumer and lifestyle-driven businesses.

“Time and timing are always crucial in the construction process,” Sutton says. “The industry routinely looks ahead six to 12 months, for planning as well as the investment to make a new home community happen, but there are now so many things the builder can’t plan for or do much about, like the impact of the oil situation. Also, it’s a much smaller world. It’s not enough for the industry to watch only the local economy. It’s a global factor.”

“The Edmonton housing market continues to be very diverse,” he points out. “We have a good mix of new home

Some reports from Calgary suggest that, primarily due to the oil price situation, new home sales in some areas are down

NOVEMBER 2015 // BUSINESS IN EDMONTON // BUSINESSINEDMONTON.COM

EDMONTON’S UNIQUENESS AND DIFFERENCES // URBANOMICS

“THIS WINTER AND INTO 2016, I EXPECT TO SEE SOME YEAR-OVER-YEAR DECLINES AS WE LAG BEHIND THE CALGARY TREND BY 12-18 MONTHS. THIS COULD ALSO CHANGE QUICKLY, IF OIL PRICES RECOVER.” ~ JASON SUTTON

by as much as 30-40 per cent. Sutton underscores some of the Edmonton area’s differences.

“In the Capital Region, the market has been relatively flat year in 2015, mostly because Edmonton not only has exploration but servicing, transportation, maintenance and construction as part of the overall oil industry. We don’t feel the sudden impact as Calgary does and we are becoming more diversified as well with key construction projects, research, hospitals, education and government all contributing to the overall economic landscape. This winter and into 2016, I expect to see some year-over-year declines as we lag behind the Calgary trend by 12-18 months. This could also change quickly, if oil prices recover.”

According to Edmonton-specific statistics, housing was only 2.5 per cent lower in August 2015, over the same month in 2014. Year-to-date data actually show an increase in housing statists, up 41.4 per cent. Sutton notes that while Edmonton single family statistics are down 6.2 per cent, multi-family is up nearly 88 per cent.

He adds that those numbers are a reflection of not only the change in market preferences and issues of affordability, but also the challenge that Edmonton builders have had getting multi-family projects approved.

While urban planning and development in several other

markets must deal with tight and pricey land and other development factors, they are not issues in the Capital Region, and he mentions that this is another example of Edmonton’s uniqueness.

“Land availability is not as big a factor in the Edmonton area; the local building industry does support a balance of greenfield growth and infill initiatives intended to increase densification and help sustain existing neighborhoods.

Builders understand the need to revitalize older communities with housing that will attract younger families and support higher density to maximize existing services and infrastructure.”

In some new home markets, there are situations of smaller builders struggling, moving to other areas or even shutting down. “There is a public misconception that building homes is easy money and builders control housing prices with high margins. Nothing could be further from the truth!” says Sutton. “Efficient processes, lean building practices and volume production have become necessities in order to maintain a healthy business model. With ever shrinking margins in housing, it becomes much tougher for the smaller builders to survive. While there are still many opportunities for smaller builders to find a comfortable niche, I think the larger volume production builders will continue to take increased market share.”

ABOVE: JASON SUTTON, PRESIDENT, CANADIAN HOME BUILDERS’ ASSOCIATIONEDMONTON REGION AND DIRECTOR OF SALES & MARKETING FOR LANDMARK GROUP OF COMPANIES.

BUSINESSINEDMONTON.COM // BUSINESS IN EDMONTON // NOVEMBER 2015

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New CEO for MNP Daryl Ritchie remains as the chairman of the board MNP LLP, a leading national accounting and business consulting firm, has a new CEO. Daryl Ritchie, FCPA, FCA, chairman of the board and former CEO, announced that Jason Tuffs, CPA, CA, would step into the leadership role effective October 1, 2015. Tuffs, the fourth CEO in the firm’s 58-year history, officially assumed the role at MNP’s annual general meeting (AGM) in Montreal.

unprecedented growth and evolving MNP into the leading national firm it is today.

“I don’t believe we could have achieved the same success we have without him at the helm,” says Jason Tuffs, CEO, MNP. “Daryl had a vision very early on about where MNP needed to go and what we needed to do to get there. For Daryl it was never about being the largest firm, but being the best – the pre-eminent, full-service mid-market accounting firm throughout Canada. I am honoured to be succeeding him and thankful to have his support as the chairman of the board.”

Ritchie, who will remain as chairman of the board, says the firm’s CEO leadership transition had been in the plans since 2009, when the board asked him to accept a third term as CEO. Ritchie accepted another term but advised it would be his last. “We knew the next CEO must believe in and understand our values and culture, be committed to the midmarket and have the appropriate experience to take on the role. The THIRTY YEARS OF DISTINCTION selection of the new CEO was a rigorous process as we weren’t just looking for a great CEO, we were PRESCHOOL looking for a great ‘MNP CEO,’” says KINDERGARTEN Ritchie. “I’m looking forward to working with Jason and providing ELEMENTARY any support I can to ensure MNP JR. HIGH continues to achieve success for our clients and our people.”

From 1958, when Ron Meyers started what was to become MNP in Brandon, Manitoba to Don Penny adding services and locations to match client needs throughout the late ’70s and ’80s, the roots of the firm were being established. Ritchie’s vision would further build upon this foundation, realizing

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When Ritchie was appointed CEO in October 1998, MNP was the 10th largest accounting firm in Canada, with fees of $41 million and a staff count of just over 400. Fast forward 17 years, and MNP is the fifth largest firm, with fees of $600 million and a staff of over 3,500. Starting at MNP as an articling student in 1978, Ritchie grew up with the firm, which allowed the natural leader to build on a strong cultural foundation while leaving a lasting legacy of growth, increased scope and enhanced capabilities.

And Tuffs has the right experience to build on the strong foundation created by the CEOs who preceded him.

After gaining valuable international experience working abroad for five years, Tuffs returned to Canada in 2004 to begin his career at MNP; leading the firm in developing its public company practice. In late 2009, Tuffs became regional managing partner of Calgary operations. He was appointed to the board of directors in 2011 and took on the role of executive vice president of B.C. region in 2013. Tuffs was also a member of MNP’s strategic planning committee in 2015.

Tuffs is excited about leading MNP into the future and says the firm has no plans to slow down. While the strategic direction of MNP for the next five years was set last year when the board rolled out the strategic plan, the native Albertan notes he’d like to add more “pins” in the MNP map, particularly in the Maritimes and London, Ontario to truly

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NOVEMBER 2015 // BUSINESS IN EDMONTON // BUSINESSINEDMONTON.COM

own Canada’s mid-market centres. But continued growth will be fuelled by capitalizing on the foundation that has already been built, Tuffs emphasizes.

According to Tuffs, MNP has tremendous opportunity in all markets to build upon the firm’s strong history, culture and foundation, adding new offices, people and expertise.

“But for MNP it’s not about becoming the fourth largest or the third largest or the second largest. It’s about continuing to serve our clients’ evolving needs, having the resources, having the talent and being in strategic markets, be they rural or urban, while retaining our cultures and values. That has been the factors to our past success and will continue to drive the future of MNP.” ABOVE: JASON TUFFS, CEO, MNP

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THE REALITY OF DATA SECURITY: HOW AT RISK ARE WE? // SECURITY

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NOVEMBER 2015 // BUSINESS IN EDMONTON // BUSINESSINEDMONTON.COM

15_1017 Bus_EDM_NOV_RetailGRP Mod: September 4, 2015 2:47 PM Print: 0

THE REALITY OF DATA SECURITY:

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SOME OF THE BIGGEST THREATS TO MODERN BUSINESS CAN BE FOUND LURKING IN THE ONLINE WORLD. HOW CAN WE PROTECT OURSELVES, AND HOW BIG IS THE RISK, REALLY?

BY RECHELL MCDONALD

I

f you have seen the news or social media at all over the last year, then you are likely familiar with groups like Anonymous, who are responsible for major online data breeches that have exposed the private information of thousands, if not millions, of people. These repeated attacks, which have been leveled against major businesses like Sony, have made many people wonder just how safe their information is.

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THE REALITY OF DATA SECURITY: HOW AT RISK ARE WE? // SECURITY

MAJOR HACKERS AREN’T TYPICALLY AFTER YOUR BANKING DATA OR EMAIL PASSWORDS, PARTICULARLY IF YOU ARE THE AVERAGE WORKER PULLING IN AN HONEST WAGE. THE PEOPLE THAT HAVE TO WORRY ARE BUSINESS OWNERS, BUT EVEN THEN, IT LARGELY DEPENDS ON THE BUSINESS YOU RUN.

Business in Edmonton spoke with several tech professionals to find out if we really have anything to worry about.

“Systematic hijackings are worrisome, but most people aren’t running a global enterprise,” explains David Sime, vice president, engineering and delivery with CONTAVA. What does Sime mean by this? Well, when it comes to groups like Anonymous who are not only skilled with computers and adept at hacking, they choose their targets wisely, and they choose them for public impact. Major

hackers aren’t typically after your banking data or email passwords, particularly if you are the average worker pulling in an honest wage. The people that have to worry are business owners, but even then, it largely depends on the business you run.

“Extortion through data hijacking is a possibility for any business owner, and if you are in a position where the data held hostage is preventing you from operating your business and you are losing money, it may be in your best interest to

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NOVEMBER 2015 // BUSINESS IN EDMONTON // BUSINESSINEDMONTON.COM

THE REALITY OF DATA SECURITY: HOW AT RISK ARE WE? // SECURITY

submit to the demands – but that action just encourages the problem. It’s your business and your money, so it will have to be considered on a case-by-case basis,” says Sime.

In these situations you run the risk of further attacks on your data by submitting to a hackers demands, but unfortunately you may not have many options. It’s nice to think that you can’t or won’t submit to acts of online terrorism like this, but if your only other option is going out of business, what do you do?

“Often data loss won’t translate to a direct monetary loss for a business, but it will compromise their reputation. You have to look at the big picture here, we’re not operating missile silos, so you have to balance your investment in security.” In short, as Sime puts it, we aren’t protecting national secrets as small to mid-sized business owners. When it comes down to protecting your client’s data by paying a ransom, or having it all exposed and losing your customers, the choice seems clear.

It’s a fine balance, however, between sufficient protection and going overboard. Hackers can cause a lot of problems and disrupt your business, but you can’t lock down your system so heavily that it’s difficult for your employees to do their jobs. Sime suggests that being overly paranoid can actually cost you more money in the long run because you hamper an employee’s ability to operate effectively. So what’s the best course of action? Sime believes that having current hardware, up-to-date operating systems and help from security professionals are important factors.

“Encrypted hard drives (and storage) are key for devices that travel outside of the office, but so is using that encrypted communications. Windows 8 Pro and higher include an encryption feature and ensuring that you activate that option and utilize it, will go a long way.”

Many people are also wondering about the real benefits of cloud servers, and if moving all their data to them is actually a better way to protect it. The opinions on this vary widely, but there are benefits to using the cloud;

“CLOUD SERVERS ARE JUST AS SUSCEPTIBLE TO BEING HACKED AS ON-PREMISE SERVERS. CLOUD SERVERS ENABLE BUSINESSES TO OUTSOURCE THAT RESPONSIBILITY TO THE CLOUD HOSTING PROVIDERS, BUT YOU ARE STILL AT THE MERCY OF THE PROVIDER’S SECURITY SYSTEMS AND PROCESSES.” ~ RISHI PATEL, KEERAN NETWORKS whether or not those benefits translate to better security remains to be seen.

Rishi Patel, partner at Keeran Networks feels that when it comes to secure locations, there is no truly safe place for your data. “Cloud servers are just as susceptible to being hacked as on-premise servers. Cloud servers enable businesses to outsource that responsibility to the cloud hosting providers, but you are still at the mercy of the provider’s security systems and processes.”

OPPOSITE PAGE: DAVID SIME VICE PRESIDENT, ENGINEERING AND DELIVERY, CONTAVA. PHOTO SOURCE: CONTAVA.

ABOVE RIGHT: RISHI PATEL, PARTNER, KEERAN NETWORKS. BUSINESSINEDMONTON.COM // BUSINESS IN EDMONTON // NOVEMBER 2015

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THE REALITY OF DATA SECURITY: HOW AT RISK ARE WE? // SECURITY

SO WHY BOTHER WITH THE CLOUD? USING THE CLOUD CAN TAKE A LOT OF WORK OFF A BUSINESS OWNER’S PLATE, AND THERE CAN BE SOME SECURITY ADVANTAGES, ESPECIALLY IF YOU AREN’T AWARE ENOUGH TO KEEP YOUR SYSTEM’S SECURITY UP TO DATE YOURSELF.

So why bother with the cloud? Using the cloud can take a lot of work off a business owner’s plate, and there can be some security advantages, especially if you aren’t aware enough to keep your system’s security up to date yourself. Sime believes that you are only as protected as you are diligent, and in many cases hosted servers are a better, more secure fit, because they are rigorously managed and their security is always kept up to date. In short, it completely depends on the business owner.

If you do find yourself in a situation where your systems have been breached, there are a few things you need to do immediately. Patel explains that the first course of action you

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NOVEMBER 2015 // BUSINESS IN EDMONTON // BUSINESSINEDMONTON.COM

take in a situation like this will be directly responsible for how bad the breach gets. “Whichever system(s) have been compromised need to be taken offline to minimize further damage. A vulnerability assessment coupled with a security audit should be performed to identify where and how the breach occurred. After the systems are secured they can then be brought back online.”

It’s also important not to panic, according to Ayman Hassan of 4WEB.ca.

“Talk to your team and find out where the breach is. Once identified, try to identify where the threat is coming from

THE REALITY OF DATA SECURITY: HOW AT RISK ARE WE? // SECURITY

and insulate the organization by changing usernames/ passwords, running all the latest security updates, firewalling offending IP addresses or hosts, remove scripts or malware that may have infected the system, etc., depending on the situation. If the in-house expertise is not available, find outside security experts to come in and identify the issue, arrest the problem and hopefully keep it from happening in the future.”

So we know that while brute-force attacks by organized hackers are problematic, they don’t necessarily pose a risk to the average business owner – so what does? Our experts felt that average businesses were predominantly at risk of being attacked for financial and banking data. The means of this often an attack using spyware.

“Spyware is often inadvertently installed without users’ consent when a file is downloaded or a commercial popup is clicked,” explains Patel. “Spyware can monitor your keystrokes, scan, read and delete your files, access your applications and even reformat your hard drive. It constantly streams information back to the person that controls the spyware and enables them to remotely monitor and control your computer.”

Hassan also suggests that online security for business websites is not nearly as good as it should be. We often protect our actual devices with decent security measures

– but what about the online extensions of our businesses like online stores and websites? “All websites need to be kept updated with the latest security updates. The fact of the matter is that less than 50 per cent of the sites online today have adequate protection. Just like your computer or server websites, stores and other applications require regular updates every month.”

You may see much of this as conflicting information, or even a debate about what’s the best way to remain secure, but it’s really just a wealth of great options. Sometimes the best solution to a problem can be found by taking advantage of all your options simultaneously - a hybrid method of sorts – to protect your business data.

“Having an onsite server may still be considered ‘old school’ but it allows organizations to have quick access to important, sensitive data that would cripple them if the cloud were gone,” Hassan reasons.

The overall message that was conveyed through all of this, is that for the most part we don’t have to worry about a major online assault, but we do have to put more thought into our security protocols, no matter the size of the business.

Protecting the private information of the customer should be a top priority. Evaluate your business’s online security needs professionally, and implement a plan you can maintain, one way or the other.

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CARRYING THE LOAD // COVER

Carrying the Load: BRUNO MULLER HAULS CARON TRANSPORTATION SYSTEMS FROM ACQUISITION TO SUCCESS STORY A QUESTION, A BAR NAPKIN AND SOME SERIOUS INTUITION LEAD TO BRUNO MULLER’S SUCCESS WITH CARON TRANSPORTATION SYSTEMS.

BY NERISSA MCNAUGHTON

I

n 1978, Bruno Muller was working for a dispatch service in Edmonton. Like many young men at that time he had yet to settle on a career and map out a plan for his future, but unbeknownst to Muller, his future had some great things in store.

It started when he worked as a dispatcher for Weibel’s Express and Transport.

“During the first three years at Weibel’s Express and Transport, we obtained a customer by the name of Prairie Industrial Chemicals, owned by Jim Yuel,” Muller explains.

“He quickly became a very significant client. We got to be friends and one day he asked me if I’d be interested in starting a trucking company. We discussed it over a few beers – that’s how things were done in those days! – wrote up a few notes on a napkin and decided to go for it. When the owners of Weibel’s learned I was leaving the company, he decided to sell his business to Jim and me.”

From there, the company had one direction. Up. “We bought Weibel’s Express and Transport in the spring of 1981,” Muller continues. “We did a small acquisition of Evenson Trucking from Saskatchewan around 1986. We had a fair bit of organic growth from 1981 – 1990. By that time we were in the courier, less then load (LTL), truck load and warehousing businesses.

Yuel and Ed Caron of Caron Transport were friends since the ’70s. Since Prairie Industrial Chemicals used Caron Transportation for their bulk transportation requirements, the two company owners developed a great friendship in and out of the office. During the course of their friendship, talks evolved around Muller and Yuel acquiring Caron Transportation. In 1990, they closed a deal.

After the Caron acquisition, Muller and his partner decided to divest themselves of anything that was not bulk transport related. “I sold everything else within a year and a half of purchasing Caron and focused on transporting bulk (dry and liquid) products,” remembers Muller; but that didn’t stop them from growing. The next acquisition was Warrior Transport in 1992, followed by the stainless steel assets of Rempel Trail in 1993. In 1996 they acquired the western Canadian assets of Provost Bulk Systems Inc. In 2001 the company acquired Interload Services Ltd. so they could haul aggregates for one of Caron’s major customers.

“We established ourselves as a major liquid and bulk carrier in western Canada,” says Muller with pride. “We added terminals and expanded to the point where we are today.” That point is five terminals in Canada (Calgary/ Medicine Hat, Edmonton, Grande Prairie, Sherwood Park and Saskatoon). The Sherwood Park and Calgary facilities are equipped with state-of-the-art tank cleaning systems to OPPOSITE PAGE: BRUNO MULLER, PRESIDENT & CEO PHOTO SOURCE: EPIC PHOTOGRAPHY INC.

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CARRYING THE LOAD // COVER

BUSINESSINEDMONTON.COM // BUSINESS IN EDMONTON // NOVEMBER 2015

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CARRYING THE LOAD // COVER

safely remove industrial chemicals and hydrocarbons from tanks. In 2013 Caron USA was established to haul dry bulk in Montana and Texas.

The Caron fleet is made up of a number of different specialized trailers. They include rubber lined, stainless steel, aluminum, and cryogenic trailers for liquid commodities; and pneumatic and aggregate trailers for dry bulk commodities.

With a strong presence in western Canada and entry into the American market, will Caron move headquarters out of Sherwood Park? Not a chance, confirms the company president. “This is the region we started in, this is where we are and this is where the majority of our work comes from,” he says firmly. “There was never any thought of moving the head office anywhere else.”

Muller’s choice to trust his instincts and early napkin business plan paid off. Despite the downturn in the economy, Caron Transportation Systems keeps on trucking.

He’s used those instincts several critical times to move the company forward, notably in 1992.

Muller explains. “In 1992 when we purchased Warrior Transport, that company was in a cash crunch situation.

After the deal was done, I was sitting in Warrior’s offices when a phone call came in from an international salt company talking to the former owners in the next office.

I overheard the conversation. They were talking about the acquisition that Caron made of Warrior and were concerned about a contract that had not been signed yet while the former owners still owned the company. From past experience with me, they felt there was no way I was going to honour the contract to haul salt for the winter. It was a very, very significant contract for them. The previous owners hung up and presented the issue to me. I read it and decided not to go ahead because I did not want to operate our newly acquired equipment at a loss. That took courage because things were slow in the oil patch that year and that contract had been Warrior Transport’s major potential income source.

However, I felt things were going to pick up and I didn’t want to tie up our assets in an exclusive contract with marginal or no return. My intuition was right. Things did pick up and we were able to service the oil and gas sector a short time later.

It turned out to be one of our most profitable years.”

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But the story doesn’t stop there. All the hauling involved road salt and Muller did not want to compromise road safety if the company could not find a transportation provider by the time it started to snow. Even though he didn’t want to be locked into a contract, Muller decided to help out. A compromise was reach where Caron would haul for them short term as they actively sought another carrier. This smart, compassionate approach ensured winners on all sides of the issue.

Another challenge? Alberta’s constantly evolving workforce.

“The greatest challenge and biggest rewards are our people,” Muller points out. “It’s all about getting the right people for the job and having the ability to reward people that do a good job for you.” He goes on to state that it’s Caron’s goal to provide a good quality of life for the team because the people that work for him are his most important assets.

Muller is a man that believes in giving back to his community; he and Caron do so in many different ways.

Personally, he enjoys speaking to youth groups about entrepreneurship, but with a twist.

“I’m always hesitant to get them to go the entrepreneur route as opposed to the traditionally corporate or professional way,” says Muller, showing a departure from the common “follow your dreams at all cost” ideal. Muller’s approach to entrepreneurship is both practical and pragmatic. “At the end of the day the failure rate and risk of the entrepreneur is very high, but the reward is very great if you are successful. What I say to other entrepreneurial-minded individuals is once you’ve convinced yourself you want to do something, you have to give it everything you got, let the peaks and valleys go by and adjust yourself accordingly.”

Muller continues, “Leading by example still works best! You don’t want anybody to do things you wouldn’t do yourself and if you follow that principle, you’re going to be okay.

Entrepreneurship and leadership – I believe it’s something that you’re born with. You have it or you don’t.”

Leading by example is something Muller excels at, and when it comes to being active in the community, the whole company takes part.

“It makes me feel good,” he admits with a huge grin and his signature laugh. “Working with charitable organizations,

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CARRYING THE LOAD // COVER

or non-profits that are trying do the right things for the community at large, gives me satisfaction. It’s probably as important for me to be part of it as it is for the charity. Some days, as the CEO of any organization, things are not that good; but when you go to help others, it just makes you feel really good. It’s like therapy, almost.”

Charitable organizations that Caron Transportation has been involved with include The Edmonton Oilers Community Foundation, STARS, Stollery Children’s Hospital Foundation, Christmas Bureau of Edmonton, and Heart and Stroke Foundation. The company is active in every community it operates in, and at Christmas, matches employee donations to holiday charities dollar for dollar.

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trucking associations representing a broad cross-section of the trucking industry – some 4,500 carriers, owneroperators and industry suppliers. The CTA is considered by governments and media to be one of the most effective and respected trade groups in the country.

One would think that Muller and Caron Transportation would be swimming in awards for leadership, community involvement and business acumen, but the mere mention of recognition makes Muller recoil.

Muller is one of the founding members and past chair of the Alberta Enterprise Group (AEG), a non-profit organization that gives a voice to Alberta businesses by speaking out on important issues and promoting the province as an investment destination. The group is active on key issues like market access for Canadian energy, reducing barriers to trade within Canada and around the world, and ensuring Alberta is a globally competitive jurisdiction. At the same time, AEG fosters an environment for business leaders to connect and mentor one another.

“It’s just my makeup that I never wanted to participate in all that,” he explains of why he never fills out forms and ballots to collect awards. “Unfortunately, I have found in my experience that some of the awards are more based on people that fill out all the right documentation. It has little to do with recognition. In other words, we simply have never had the time or had the effort to put the right checks in the right boxes.” However, Muller is also quick to admit that his distaste of awards and recognition is personal, and may not be in the best interest of the company. He has recently agreed with his business colleagues to be more open to receiving recognition, especially when it highlights the outstanding job of the whole team.

Muller is also past chair (2008 – 2010) of the Canadian Trucking Alliance (CTA), a federation of provincial

Muller has led Caron to success, and that’s not bad for a guy that was a taxi driver and nightclub bouncer 1976. In fact,

NOVEMBER 2015 // BUSINESS IN EDMONTON // BUSINESSINEDMONTON.COM

he met his wife, Carla, by picking her up as a fare. As you can see, he’s always had the ability to quickly spot a good thing. The couple has two boys, Kent and Ryan. One thing Muller did have, however, was plenty of ambition – and it’s served him well. “Anything that I did do, I was always able to find a better angle to do it from and enjoyed finding different ways of doing things. That seemed to be a recipe for a certain amount of success,” he smiles.

Not that he believes, even for one moment, that the success is all due to his hard work and insight. Muller is a very humble man and is full of praise for everyone that has kept Caron Transportation on the road.

“An individual that participated in my personal success and the success of Caron is my best friend and former business partner Jim Yuel, who has now been succeeded by his son, Greg Yuel,” says Muller. “Jim is the guy I learned a lot of my business practices from. I consider him to be one of the most prolific visionaries I have ever met. His mentorship has helped me build Caron to what it is today.”

Muller is also thankful for the loyalty and dedication of Bill Pattison, vice president of operations; Terry Evans, vice president of finance and Kevin Tetzloff, vice president of sales. Together, these gentlemen have provided an outstanding 64 years of combined service.

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“Furthermore, I can honestly say when it comes to our customer base, we have the best of the best. There is not a single customer that I don’t appreciate.”

Next year marks the 65th anniversary of Caron Transportation Systems. So what comes next?

“I’ve still got a few years to go,” laughs Muller. “I have no intention of retiring at this time. As for the company, it’s steady as she goes. We will keep doing what we have always done and we will keep finding our way through the economic peaks and valleys of the western Canadian economy, doing everything possible to remain growing and profitable.”

Caron has been growing for over 60 years and with Muller at the helm, the road ahead for the trucking company looks long, smooth and prosperous.

Established 1978 OPPOSITE PAGE: BRUNO MULLER, PRESIDENT & CEO PHOTO SOURCE: EPIC PHOTOGRAPHY INC.

samabouhassan.com • 780-429-7998 BUSINESSINEDMONTON.COM // BUSINESS IN EDMONTON // NOVEMBER 2015

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Advocating for Diversification Funds in a Slowing Economy

2015 Board of Directors Executive

Chair: Jerri Cairns, Partner, Parlee McLaws LLP Past Chair: Simon O’Byrne, Vice President, Practice Leader, Stantec Vice Chair: Bill Blais, Vice President, Land Development, Maclab Enterprises Treasurer: James Merkosky, Partner, Tax Services, Pricewaterhouse Coopers LLP

Directors

Andrea Mondor, Principal, Andrea Mondor Management Consulting Ltd. Alyson Hodson, President & CEO, zag creative Christopher Bruce, Vice President, Commercial Banking, Scotiabank Dr. Glenn Feltham, President & CEO, Northern Alberta Institute of Technology Crystal Graham, Partner & Licensed Interior Designer, Kasian Architecture Interior Design & Planning Ltd. Dawn Harsch, Owner, Exquisicare Inc. Scott McEachern, Vice President, Engineering & Projects, Enbridge Pipelines Inc. Len Rhodes, President & CEO, Edmonton Eskimo Football Club Jim Webb, President, Urbanlife Properties Ltd. Janet Riopel, President & CEO, Edmonton Chamber of Commerce

Contact

Edmonton Chamber of Commerce #600 – 9990 Jasper Avenue Edmonton, AB T5J 1P7 T: 780.426.4620 F: 780.424.7946

By Janet M. Riopel, President & CEO

I

t was the message Albertans needed to hear at a time when we needed to hear it.

Bank of Canada Governor Stephen Poloz stood in front of 1,500 business leaders in Calgary to give a pep talk on surviving the roller coaster ride of oil prices in Alberta’s resource-rich economy. People in the room were energized, even though many expect to see more layoffs and red ink before an eventual upswing in Alberta’s economy.

Poloz is not a politician. He wasn’t selling anything. So his message resonated with the crowd, which included many CEOs, energy company officials and senior executives from corporate Alberta. This can be a tough crowd, but his words generated a sense of optimism in the room.

“Canada has seen this movie before,” said Poloz. “We’ve managed it well in the past and I’m confident we will continue to manage it well in the future.” He added that these adjustments are often difficult and painful for the people affected and their families.

But the bottom line for the Bank of Canada governor is that it’s better for a country to have resources than not to have them, even if it means having to endure the high degree of volatility in prices that leads to downsizing, reduced investment and lost jobs.

At present, more than 70 per cent of Alberta’s trade is in oil and gas. A diversification plan that calls for specific action is required for Alberta to achieve its long-term potential beyond oil and gas. The Edmonton Chamber of Commerce is renewing its call for the province to create a diversification fund over the next five years equal to onequarter per cent of Alberta’s annual budget.

A dedicated diversification fund would help bring new products to market, support new business development and enhance market reach for Alberta businesses. Growing strong new sectors will help break the boom-bust economic cycle that has characterized Alberta for decades.

Target areas for diversification projects include forestry, agrifood production, biotechnology, environmental monitoring and communications technology. The province also needs to stimulate new business start-ups and pursue new foreign investors to fund projects outside the energy sector.

This is the perfect time for Alberta’s new government to consider creating this fund in order to help wean Alberta away from its heavy dependence on energy revenues. The Edmonton Chamber would like to hear your views on this issue. You can contact us at policy@ edmontonchamber.com.

BUSINESSINEDMONTON.COM // BUSINESS IN EDMONTON // NOVEMBER 2015

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Working to Build Beneficial Relationships with Canada’s North

By Warren Singh, Director of Policy

G

rowing and maintaining relationships between business communities in Edmonton and Canada’s resource-rich north sounds like a simple plan, but this goal has proved to be elusive in the past.

The newly-formed Northern/Circumpolar Secretariat is looking to make this relationship between Edmonton and northern communities a solid and enduring link that benefits communities in both regions. The Secretariat is a joint initiative of the Edmonton Chamber of Commerce, City of Edmonton, Edmonton Economic Development Corporation, University of Alberta and Edmonton International Airport.

The vision is to create vital social, economic and cultural connections over the next three years, with an initial focus on the Northwest Territories and the Yukon. The Secretariat will become a driver for stronger communityto-community, government-to-government and business-to-business linkages with the North. It will serve as a platform to position Edmonton as a great circumpolar city – an effective nexus for the flow of goods, services and people to and from the North.

“The Secretariat will become a driver for stronger communityto-community, government-togovernment and business-tobusiness linkages with the North.”

The strategy for this new entity includes aggressively attracting northern investors to the Edmonton region, with a focus on Aboriginal organizations. There will also be a concentrated effort to identify investment and growth opportunities in northern Canada and increase business opportunities in the

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North through events in the Edmonton region and missions to the North.

Achieving these goals will require building relationships with Aboriginal economic development corporations operating in key northern regions, as well as collaboration with a variety of northern stakeholders.

Edmonton Chamber President and CEO, Janet Riopel, says this type of linkage with the North has occurred in the past with varying degrees of success. “But one thing we all agree on is that we can do better, so that’s what we aim to do,” says Riopel.

“I’m proud to chair this Secretariat and the Edmonton Chamber will be playing a major role in managing this new entity,” she says.

“It’s an exciting new venture.”

The Edmonton Chamber’s role is to maintain and grow relationships between business communities in Edmonton and the North by supporting the Secretariat’s events and initiatives, as well as facilitating business conferences.

To that end, the Edmonton Chamber has engaged Matthew Berry in the role of Manager of Northern Initiatives. Matthew will be responsible for the administration of the Secretariat. His duties include executing the business plan, enabling partner collaborations and co-ordinating political delegations.

Berry’s office is located in World Trade Centre Edmonton and he’s eager to hear from anyone interested in getting involved with or commenting on this initiative.

You can email him directly at mberry@ edmontonchamber.com.

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Work to Continuously Meet Client Expectations

By Tatianna Lazowski, Communications & Marketing Coordinator

C

onsumers expect high quality work from service providers, but some companies struggle to meet their customers’ high standards on a consistent basis. Donny Bidniak, General Manager of Northern Operations at Ridgeline Canada, offers insight on how Ridgeline works to provide high quality services that continuously meet client expectations.

Ridgeline was founded in Alberta in 1999, focused on two main divisions: • Ridgeline Environment (Environmental Consulting) • Ridgeline GreenFill (Waste Management Facilities) The environment division works with a variety of clients to complete services such as environmental assessments, remediation, reclamation and emergency spill response.

Ridgeline GreenFill accepts a wide range of contaminated soil and industrial wastes, which are appropriately recycled at their treatment sites.

To ensure their delivery of high quality services, Ridgeline employs several key strategies: • Identifying value for each client • Maintaining strong internal and external communication • Utilizing innovation • Training employees to the highest standard Ridgeline identifies value by understanding client goals, envisioning the “bigger picture” and developing strategic action plans that meet expectations.

“It’s about understanding the end goal and how we can work within regulations to streamline things so they happen in the most practical, efficient manner,” says Bidniak. “We’re

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Ridgeline response team working on spill clean-up.

not just focusing on an independent piece of a project, we’re looking at the project’s entirety to ensure it’s completed in a valuable way.”

Strong internal and external communication is vital to meeting client expectations. For Ridgeline, client directions are constantly shifting due to changing regulations and economic conditions. The team has to communicate effectively about industry changes and client needs to successfully meet and exceed objectives.

The firm also utilizes innovation. “Innovation is always on the forefront for our managers and employees,” says Bidniak. Ridgeline is frequently exposed to emerging technologies and focuses on integrating creative solutions into client projects.

Finally, the firm offers employee training on a regular basis. Ridgeline provides all employees with a professional development allowance and operates the “School of Ridgeline,” which educates employees about company services.

Providing regular training opportunities allows the firm to maintain industry expertise and best practices, which help meet client expectations. “We’re watching our people grow with our company, which has been vital to our success,” says Bidniak.

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Connecting Business Autumn After Business Mixer & Tradeshow The Edmonton Chamber hosted its first mixer and tradeshow of the fall season on Thursday, September 24, 2015, at The Derrick Golf and Winter Club. Edmonton Chamber members and guests enjoyed an evening of valuable connection, insightful conversation and great food.

Corporate exhibitors had the opportunity to gain valuable brand exposure and attendees expanded their networks just in time for the new season.

West Edmonton Mall representatives show off their exhibit.

There were smiles all around during our first mixer and tradeshow of the fall season.

Newly founded River City Cookie Co. connected with many prospects.

Enthusiastic exhibitors informed guests about their products and services.

Members in this Issue The City of Edmonton in Architecture in Edmonton: Finding Ways to Blend History with the Future on page 44 Investors Group Financial Services Inc. in Investing in an Uncertain Economy on page 52

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BUSINESSINEDMONTON.COM // BUSINESS IN EDMONTON // NOVEMBER 2015

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Presented by

‘An Evening of Brilliance’

Friday, January 29, 2016 Shaw Conference Centre - 9797 Jasper Avenue Doors: 6:00 p.m. • Program: 7:00 p.m.

Dress: Black Tie or Business Formal Tickets: Members: $245+GST per person Non-Members: $320+GST per person Celebrating Northern Lights Award Recipient The Naqvi Family, Cameron Developments Honouring Outgoing Board Chair Jerri Cairns, Partner Parlee McLaws LLP Honouring Incoming Board Chair Bill Blais, Vice President, Land Development, Maclab Enterprises EdmontonChamber.com/ChamberBall #ChamberBallYEG

GOING GREEN: BUSINESS FOR A BETTER EARTH // ENVIRONMENTAL STEWARDSHIP

GOING BUSINESS GREEN: FOR A

BY BRITTANY KRAUS

A

s today’s world becomes increasingly globalized, environmental issues continue to emerge as some of the most pressing and urgent challenges of our time. Perhaps at no other time in modern history has the environment featured so prominently in discussions of global and national politics, economics and social ethics; but are words like “eco-friendly” and “sustainability” simply buzz words that people throw around lightly, or are environmental issues fundamentally changing – and challenging – the way people do business? Is the business world going “green”? If so, is it going green for good?

According to Carmen Boyko, executive director of the Alberta Emerald Foundation, green business practices are here to stay.

“Green business practices are permanent,” she states. “We [the Emerald Foundation] have seen Alberta’s leadership in areas like CO2 storage, reclamation of lands, the creation of renewable energy, and so much more. It’s clear that groups large and small are taking into consideration how their

BETTER EARTH

work impacts the environment and are finding ways to improve their practices.”

Darcy O’Brien, principal of BASIN Environmental Ltd., an environmental consulting firm based out of Sherwood Park, that provides environmental services to companies across Western Canada, also believes that “green” business practices are finding a permanent place in the world – and in the market.

“I think green business practices are sustainable and can be competitive in small and large scale markets,” he says.

“Every business can adopt practices to become greener, and in some cases, it can save businesses a lot of money to increase efficiencies.”

Increasing efficiencies not only saves business’ money, but also keeps customers satisfied and loyal. Indeed, the growing demand for environmentally and socially responsible corporate practices is largely driven by the public. In other words, there is a reciprocal relationship between companies and their customers; businesses must respond to public demand, and what the people want is “green.”

ABOVE: CARMEN BOYKO, EXECUTIVE DIRECTOR OF THE ALBERTA EMERALD FOUNDATION PHOTO SOURCE: ALBERTA EMERALD FOUNDATION

BUSINESSINEDMONTON.COM // BUSINESS IN EDMONTON // NOVEMBER 2015

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GOING GREEN: BUSINESS FOR A BETTER EARTH // ENVIRONMENTAL STEWARDSHIP

“The general public has such a high level of environmental awareness that businesses which negatively impact the environment will not be tolerated,” O’Brien explains. “This environmental awareness ultimately shapes the way the general population feels about the environment, and how they can have a positive impact. This eventually shapes the basic ways we conduct business.”

Boyko believes that awareness leads to growth.

“Consumers are becoming passionate about reducing their global practices and are seeking to do business with organizations that reflect their personal commitment,” she states. “As such, many businesses are committed to growing their business in an ecologically positive way.”

Each year the Emerald Foundation recognizes and awards businesses that demonstrate an unwavering commitment to environmental excellence. In 2013, the Edmonton and Area Land Trust (EALT), a non-profit conservation organization that is dedicated to conserving the natural heritage of the region through private stewardship, was one of the recipients of a prestigious Emerald Award.

Executive director of EALT, Pamela Wight, believes that businesses need to lead by example, and that it is not

only socially ethical for businesses to be environmentally conscious, but economically sound.

“There’s still a need for more understanding and recognition of how the environment actually supports the economy,” she says. “I think green business practices are not only sustainable, but imperative. The size of the company is no barrier. If they have the right intent, they can actually lead the way and build on consumer desire and market demand.”

Carbon Environmental Boutique, an Edmonton-based retail store, is one such company that, despite its modest size, is leading the way.

“At Carbon, we are very aware that we are in a position to introduce people to a new, greener lifestyle,” states CEO of Carbon, Allison MacLean.

MacLean relates her business model to the way she lives her life.

“The four pillars of my personal manifesto are to live sustainably, ethically, healthily (that is, no toxins) and, whenever possible, locally. At Carbon, we apply those same principles to every product we offer.”

ABOVE TOP: EALT VOLUNTEERS REUSED CORRAL WOOD TO BUILD A NEW FENCE. PHOTO SOURCE: EDMONTON AREA LAND TRUST (EALT).

ABOVE BOTTOM: ALLISON MACLEAN, CEO OF CARBON PHOTO SOURCE: CARBON ENVIRONMENTAL BOUTIQUE

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GOING GREEN: BUSINESS FOR A BETTER EARTH // ENVIRONMENTAL STEWARDSHIP

From retail to non-profit, big business to start-up, environmental awareness is changing the way the world does business.

“We also hold really fun, hip and informative seminars on a monthly basis to help increase public awareness of environmental issues.”

“Every corner of the world needs our help,” MacLean states.

“We need to use our energy to do something good.”

The relationship between public awareness and personal accountability is one that the Alberta Emerald Foundation believes in promoting by fostering a spirit of community, innovation and forward-thinking amongst individuals and organizations.

Education is one way that many businesses are doing “something good” for their communities and for the earth.

Indeed, all four organizations – EALT, BASIN, Carbon and the Emerald Foundation – are committed to educating others about the importance of environmental awareness and environmental action.

“I believe that all modern business practices require a certain level of environmental accountability,” states O’Brien.

“Businesses are becoming increasingly aware of how they impact the environment, how they can mitigate their activities to reduce those impacts, and therefore gain public acceptance. For example, education around waste disposal has enlightened the general population on the principles of reduce, re-use and recycle.”

Education is also a key component of EALT’s project.

“EALT produces educational materials that are available to the public,” explains Wight, “such as the first ever Guide to Species at Risk in Alberta, and its associated Children’s Activity Guide. Both guides build public knowledge about the threats to the province’s species, and how people can help.”

“We also provide hands-on environmental stewardship training through our volunteer program,” she continues, “which reaches many individuals, from troubled youth to university students, landowners to the retired.”

Carbon Environmental Boutique is also committed to educating the public in ways that are both informative and fun.

“We not only screen each and every product to extremely high environmental standards, but we make sure that the customer’s interaction with the products is pleasurable.

Whether it’s an organic mattress, non-toxic paint, or leadfree lipstick, our products reflect the best of what exists, are ultra-modern and a joy to use.”

“The Emerald Awards are our opportunity as a province to recognize, elevate and showcase the positive achievements made by individuals and organizations that are dedicated to protecting, preserving, enhancing and sustaining the environment,” Boyko states.

“In doing so, we create role models who inspire others to follow in their footsteps, evaluating their personal environmental practices and adopting more positive ones.

Our programs, like the Emerald Awards, recognize, celebrate and inspire innovative thinking, raising the bar in our province and beyond.”

Raising the bar in Alberta – and beyond – is clearly something these Alberta business owners are working towards by not only listening and responding to public demand, but also actively shaping the way people think about the environment and respond to global needs through education, innovation and environmentally responsible practices.

As Boyko points out, this personal and professional commitment to the environment is having very positive, very tangible effects.

“As we prepare for our Foundation’s 25th anniversary celebration this year and reflect on the past 24 years of the Emerald Awards, we have the unique opportunity to witness the evolution of environmental practices across all sectors. From agriculture to construction, energy to oil and gas, there has been great growth in businesses adopting eco-friendly practices, and their understanding of how they and the environment can benefit from making this commitment.”

BUSINESSINEDMONTON.COM // BUSINESS IN EDMONTON // NOVEMBER 2015

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FINDING WAYS TO BLEND HISTORY WITH THE FUTURE // ARCHITECTURE

ARCHITECTURE IN EDMONTON:

FINDING WAYS TO BLEND HISTORY WITH THE FUTURE

BY RECHELL MCDONALD

44

NOVEMBER 2015 // BUSINESS IN EDMONTON // BUSINESSINEDMONTON.COM

FINDING WAYS TO BLEND HISTORY WITH THE FUTURE // ARCHITECTURE

THE KEY TO MORE RESPONSIBLE BUILDING PRACTICES, AND A SUSTAINABLE FUTURE MAY VERY WELL LIE IN THE BUILDING TRADITIONS OF THE PAST.

M

odern Edmonton was founded in 1795 by the Hudson Bay Company as a series of trading forts along the North Saskatchewan River, the last few being located on Rossdale Flats and below the Alberta Legislature Building (where the bowling green is). A replica exists at Fort Edmonton Park– a place many residents cherish to this day, and a hot spot for tourists and families alike. The age of this great city has allowed for some very interesting architecture to develop over time, the Big House at Fort Edmonton Park being one such notable example.

In an attempt to reflect on how the city has developed architecturally over the years, and to catch a glimpse of what the future holds, we’re discussing three notable buildings that almost every Edmontonian has seen, if not entered. As the experts will attest, our architectural future appears to lie within our past.

The Big House was originally built in Fort Edmonton in the 1840s, but was torn down eventually as the trading post grew into a town and then a city. The building was reconstructed (using historical evidence) in Fort Edmonton Park. The Big House was the personal residence of John Rowand, and for its time was considered luxurious as well as excessive. As far as trading posts went, Rowand offered his guests far more than typical of the time – from china and silverware, to the only glass windows west of Winnipeg.

Perhaps one of the most interesting facts is that the Big House was the biggest private residence in its time in Canada, and is still one of the largest in the country today.

Its 70’ x 60’ foundation supports three stories (plus a lower basement level) – all made of wood.

“Naturally the fort would be wood as it was the readily available building material at the time, and Edmonton does not have natural rock to use,” explains David Holdsworth, planner with The City of Edmonton.

“To build out of brick would have meant building brick ovens and these required some effort and skill. Also, the Fort, in some ways, was transient in that it moved location

a few times prior to its final location. Most of the folk in it would have been preoccupied with trading, building new boats and growing crops, in some cases. The structure was quite grand out here at the time and Rowand certainly made sure it was comfortable.”

Another notable structure in the city is Gibson Block, and if you’ve ever driven down Jasper Avenue, chances are you’ve stared at Gibson Block a few times in passing. Today the building is home to the Women’s Emergency Accommodation Centre, but when originally built it contained shops, offices and even Turkish baths in the basement.

“The Gibson Block is a typical Edwardian commercial building,” says Holdsworth, “but built on a wedge shaped lot.” The lot is really the thing that makes this building so interesting in the cityscape, even today. “There was a bit of a commercial boom at the time and the Boyle Street area was quite prosperous; like any real estate close to the heart of downtown, it was probably worth investing in the odd lot to develop.” This is still true today of any lot space in the downtown core, if you can get your hands on it, but Gibson block spent a lot of time out of commission and wasn’t always in the best shape. In 1994 the Edmonton City Centre Church Corporation stepped in and restored it with City help.

“Gibson Block provides character to Jasper Avenue, and fitting it into the grid the way they did really accentuates the street,” comments Gene Dub, owner and principal architect at Dub Architects Ltd. in Edmonton. “The new Hyatt Place Hotel, across the street from Gibson Block, faced a similar challenge with its lot shape that Gibson Block did. It’s a contemporary building that addresses Jasper Avenue with complementary angular design.

Finally, Trinity Anglican Church. The building is reminiscent of something medieval, with its tower section and parapet, and the stone construction makes it feels ancient. The original Anglican church was moved to the current location in 1900, from which eventually developed the Trinity Anglican Church structure we are now so familiar with.

OPPOSITE PAGE: GIBSON BLOCK PHOTO SOURCE: WIKICOMMONS

BUSINESSINEDMONTON.COM // BUSINESS IN EDMONTON // NOVEMBER 2015

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FINDING WAYS TO BLEND HISTORY WITH THE FUTURE // ARCHITECTURE

“The Church, built out of clinker brick (scrap brick at the time), reflects much of the Anglican Church architecture of the time, which drew from the popular gothic revival look. Both the Church and Gibson Block used brick as it was more readily available because there were, by that time, a few brick companies located in the river flats,” says Holdsworth of the change in materials from the time of the Big House to when Gibson Block and the Church were built.

What does any of this have to do with the future of architecture in Edmonton?

Both Holdsworth and Dub provided an interesting, yet similar vision of the future of architecture in Edmonton – the only variable is whether or not that vision will come to pass.

“I would suggest we need to embrace older building principles and new technology to get it right. If we went back 200 years, building typically addressed local climates in many ways and we could adopt these principles in new build,” describes Holdsworth of the situation we find ourselves in, between environmental responsibility and technology.

“Nothing is more sustainable than repurposing an older building,” points out Dub, who has experience in this through Dub Architecture’s sister company, Five Oaks Inc. “If you can prevent demolition and landfill debris it’s better for the environment. Materials back then were often local, we now transport many natural materials from half a world away.

So the moral of the story is that we had it right the first time, before climate change was a big issue and before we had the technology we do now, we were already doing things right.

As access to new building materials and methods arrived, we veered away from those building practices and principals that worked, in favor of ‘the new.’

Holdsworth theorizes that this could stem from how we are learning and teaching architecture today.

“Architecture is like fashion, it changes (not quite as fast!), and new styles and trends evolve, some professionally driven and some driven by popular taste. The modern movement has stuck around for quite some time and in my opinion, few architectural schools now give significant weight to architectural history and feel time has moved on as new technology and materials have enabled us to build differently and at grander scales.”

We’ve also lost something in the onwards and literally upwards trend architecture has taken. Holdsworth describes it as ‘place making’, the literal places where humans would interact with architecture. As multiple smaller buildings were

ABOVE: THE BIG HOUSE AT FORT EDMONTON PARK. PHOTO SOURCE: DYLAN KERELUK

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NOVEMBER 2015 // BUSINESS IN EDMONTON // BUSINESSINEDMONTON.COM

FINDING WAYS TO BLEND HISTORY WITH THE FUTURE // ARCHITECTURE

A REVIVAL OF PLACE MAKING CAN ACTUALLY BE SEEN OCCURRING IN EDMONTON RIGHT NOW IN THE WAY THAT GROUND LEVEL BUILDINGS GENERALLY ALWAYS OFFER SOMETHING TO THE PUBLIC. EVEN IF A BUILDING IS 100 PER CENT PRIVATE RESIDENCES, IT’S COMMON TO SEE A RESTAURANT, PUB OR OTHER PUBLIC ATTRACTION BENEATH IT AT STREET LEVEL. replaced by larger, single buildings, the interaction between people and their environment at the groundlevel declined. This decline devalued everything in terms of human activity and community, which is why Holdsworth feels that somewhere in the grand scheme, where we meld technology and historic building practices, we will also reclaim that ‘place making’ we have lost.

A revival of place making can actually be seen occurring in Edmonton right now in the way that ground level

buildings generally always offer something to the public.

Even if a building is 100 per cent private residences, it’s common to see a restaurant, pub or other public attraction beneath it at street level.

“Edmonton is focused on bringing that interactivity back to the downtown, and I think we’re doing a great job of it,” Holdsworth concludes.

Dub feels that the key to more eco-friendly building practices will lie in the use of appropriate materials guided by the latest building science information. Whether it’s reusing materials, or sourcing more material locally, he remains an avid believer that reusing buildings we already have will go a long way toward sustainability.

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BUSINESSINEDMONTON.COM // BUSINESS IN EDMONTON // NOVEMBER 2015

47

YEE-HAW! CFR AND FARMFAIR RIDE INTO TOWN // FARM FAIR/CANADIAN FINALS RODEO

Yee-haw!

CFR AND FARMFAIR RIDE INTO TOWN

SADDLE UP AND GET READY FOR TWO OF EDMONTON’S OLDEST WESTERN-THEMED EVENTS.

BY NERISSA MCNAUGHTON

N

ovember 11-15, 2015 will see cowboys and cowgirls flock to our city for two of Northlands’ signature events: Canadian Finals Rodeo and Farmfair International. Both events are more than a lot of fun for locals and tourists. It’s a boon for Edmonton’s economy too.

“Farmfair International is the destination where Alberta’s producers, farmers and ranchers come to network, share ideas and conduct valuable business transactions. Each year, new emerging technologies and trends in the agriculture industry are shared,” says Northlands’ public relations specialist, Lauren Andrews. “Combined, both CFR and Farmfair International inject approximately 50 million dollars into the Edmonton and surrounding area annually.

With a combined attendance of 181,565 for 2014, CFR and Farmfair International sees out-of-town visitors occupy a large percentage of that number. Like any large-scale event

that comes to the city of Edmonton, both events receive many out of town visitors who are staying in Edmonton’s hotels, eating at our restaurants and shopping around town.”

Farmfair is a key component of showcasing our province’s beef industry on an international level. Andrews explains, “Farmfair International is dedicated to positioning the Albertan and Canadian beef cattle industries as leaders on the world’s stage. Though the international program at Farmfair, we now see Canadian genetics present throughout international beef destinations. There are a number of Canadian cattle in Mexico that are winning shows at national levels. Speckle Park cattle, which originate in Alberta and Saskatchewan, have gained great exposure from Farmfair, and their genetics are now in Australia and the United Kingdom.”

“Each year, more than 40 qualified buyers attend Farmfair International to tour the livestock show and surrounding ABOVE: BARREL RACING AT THE CANADIAN FINALS RODEO. PHOTO SOURCE: NORTHLANDS

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YEE-HAW! CFR AND FARMFAIR RIDE INTO TOWN // FARM FAIR/CANADIAN FINALS RODEO

farms,” she continues. “By supporting Alberta’s agriculture industry, this province’s number one renewable resource, they are injecting positive growth into the provincial and municipal economies.”

Where there are large groups of animals and people that want to purchase and/or ride them, there are groups of people concerned about animal welfare. Andrews assures us that there is nothing to worry about.

Since 2010, Farmfair International sales have spanned 10 breeds and 11 countries. However, prior to 2010, when Farmfair was made an official international program, inbound buyers still flocked to our city from the United States, European Union, Latin America, North America, Oceania and South America.

“Rodeo officials, stock contractors and contestants uphold the all rules and regulations governing the proper care and treatment of rodeo livestock as set out by the Canadian Professional Rodeo Association (CPRA), which includes regulations regarding transportation, arena conditions and equipment,” she explains. “Northlands and the CPRA are also very proud of a longstanding relationship established with the veterinarian community along with the Edmonton Humane Society. Both attend all rodeo performances and are on site for any livestock attention.”

It’s not just cattle buyers having all the fun. CFR, which runs concurrently with Farmfair, sees a fun, modern Wild West mood take over the city.

“This year marks the 42nd anniversary of the Canadian Finals Rodeo and Farmfair International,” smiles Andrews. “Although they are not Northlands’ longest running events, celebrating Alberta’s rich western heritage has always been a priority of Northlands.

Founded in 1879, Northlands’ first event was an agricultural showcase. That foundation in agriculture has since evolved to hosting Farmfair International each November and a strong emphasis on local food which saw the creation of the Northlands Urban Farm and Truck 1879 – Northlands’ food truck which boasts a minimum of 75 per cent locally sourced ingredients.”

Northlands keeps these longstanding events fresh with new and exciting components, and this year is no exception.

The event company is excited to introduce Food Lab, where guests learn about preparation methods for dairy and beef. “Lead by Northern Alberta Institute of Technology (NAIT) culinary instructors, Food Lab is a free event that will feature hands-on interaction and a traditional cooking stage. Registration is free but limited to 15 participants per session,” explains Andrews. Also, “Northlands is proud to partner with Edmonton Tourism for the second year to bring Rodeo Week to the city of Edmonton. We welcome the world to the west as Rodeo Week is an opportunity for all

Fairmont Hotel Macdonald has a list as long as Santa’s to fill the dreams of your loved ones during this 2015 Festive Season! Executive Chef Serge Jost is delighted to present an array of Festive Dining options that will enhance your downtown dining experience during the holiday season.

FOR MORE INFORMATION 12:34PM The moment you saw the magic of the holidays through their eyes.

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9/29/2015 12:14:50 PM

BUSINESSINEDMONTON.COM // BUSINESS IN EDMONTON // NOVEMBER 2015

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YEE-HAW! CFR AND FARMFAIR RIDE INTO TOWN // FARM FAIR/CANADIAN FINALS RODEO

Edmontonians and visitors alike to engage and celebrate our western heritage in the setting of urban restaurants, bars and public spaces.”

There is shopping too! “RAM Country Marketplace is the destination for western goods and gifts,” advises Andrews.

“RAM Country Marketplace at Farmfair International is a great place to get a start on your Christmas shopping. With goods ranging from western wear and tack, to handmade furniture and art, there is something for everyone.”

Northlands also uses these two events to give back to the community. “As a community service organization, Northlands is always looking to align ourselves with other not-for-profits and charitable organizations,” says Andrews.

“In 2014, Northlands hosted the first Movember Night at the Canadian Finals Rodeo with special discounted tickets and a percentage of proceeds going to the Movember Foundation. Further, we encouraged the cowboys of the CFR to grow out their moustaches and collect donations leading up to the rodeo. This year, we are looking at continuing our support of the Movember Foundation. Further to Movember, Northlands supports a variety of other charities and community initiatives including the Edmonton Food Bank. This year we are also encouraging rodeo guests to bring a non-perishable food bank donation with them to each CFR performance. Bins will be located at all entrances to Rexall Place.”

Whether you are attending the stock dog competition, cheering on your favourite cowboy or cowgirl, there to shop for western goods or sample the delights of Truck 1879 before it goes into the garage for the winter, you are going to have a great time at Farmfair International and CFR. On hand to make sure that you do is Production World, who has a contract to provide Northlands with entertainment elements for all their signature and in-house events.

Production World has worked with Northlands for over 20 years. If you attended events at K Days, the Canadian Derby, Black Tie Bingo and more, you’re familiar with the company’s outstanding work. Production World also produces a large Christian event that utilizes the Rexall venue and the Edmonton EXPO Centre, and the company is also a key producer for many corporate and private events around the city.

“For the CFR we will be providing a concert production for their “TD Roadhouse” series which includes full concert sound, lighting, back line and video for four concerts. These concerts will take place in Hall E immediately following the CFR Rexall events. They have a great lineup of Chad Brownlee, Terri Clark, The Road Hammers and Dallas Smith spread over the four days of the CFR. We are also providing a large lighting package in Rexall for the opening and closing ceremonies, which is always a fan highlight,” says Jon Beckett, president of Production World.

Beckett also speaks to the necessity of events like this in the Capital City. “Edmonton is a vibrant city with many diverse events. The reach of the CFR extends beyond the city of Edmonton and wide into our rural communities.

These communities are the lifeblood of agriculture, ranching and farming that put food on our tables and help drive our economy.”

Farmfair International and Canadian Finals Rodeo are two events that that light up the city every year. It’s fun, great for our economy, supports local agriculture and ranching, is a huge draw for tourists and lets us proudly showcase our western roots. It’s a celebration; participate and have fun!

ABOVE: CONTESTANTS LOOK ON THE ACTION AT THE CANADIAN FINALS RODEO. PHOTO SOURCE: NORTHLANDS

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NOVEMBER 2015 // BUSINESS IN EDMONTON // BUSINESSINEDMONTON.COM

THE NEW MNP TOWER STANDS TALL // NEWS

THE NEW MNP TOWER STANDS Tall

Tall

BY NERISSA MCNAUGHTON

M

NP, the fifth largest chartered accounting and business consulting firm in Canada, is on the move. This month the firm, which delivers a full suite of accounting, consulting and tax services, consolidates its two Edmonton offices when it moves into the new MNP Tower in the downtown core.

The MNP Tower is a boon to Edmonton’s downtown revitalization.

“The whole ICE district is an exciting development for Edmonton and there are more and more amenities appearing for those who do business in this area,” says Darren Turchansky, regional managing partner for MNP’s Edmonton region. “People want to be a part of the downtown redevelopment and to enjoy the easy access to transportation, the arts district and everything else that’s here. MNP is very committed to our city and the revitalization of downtown and is honoured to be a part of that.”

MNP’s commitment to the Capital City sees the firm making innovative strides in every industry sector, including agriculture, credit unions, food and beverage processing, forestry, real estate, Aboriginal services, forensic and litigation support, succession planning and more. The focus is on understanding the needs of the clients and providing tailored solutions.

Why make this move at a time when economists are worried about an upcoming oversupply of office space in Edmonton’s core? The decision was a very strategic one. As planners, visionaries and strategists, MNP sees this move as not only a logical step forward in the efficiency and productivity of the firm, but as a show of

strength in Edmonton’s resiliency and future. MNP sees the upswing of companies choosing Edmonton as their headquarters, the successful revitalization of downtown, and the stream of people relocating to the city to take advantage of the many opportunities Edmonton offers – and, as always, the firm responds with agility, foresight and enthusiasm.

Not only is MNP standing tall for Edmonton, they are also making a stand for the environment.

The MNP Tower is a unique construction project. The offices were built by DIRTT, an eco-friendly, sustainable provider of construction solutions. “MNP’s decision to build office space using DIRTT is both an environmentally sensitive choice and an economically savvy one,” says Julie Pithers with DIRTT. “They virtually eliminated construction waste by building in the factory to precisely fit the building and the requirements of MNP and its clients. Meanwhile, MNP saved all kinds of money typically spent on labour fees and material waste.”

Choosing DIRTT prevented approximately 44,148 pounds of carbon emissions from being released into the atmosphere from transportation (bringing workers and materials to the site), and kept nearly 56,200 pounds of drywall waste out of the landfill.

The MNP Tower shows the firm’s belief in Edmonton and will be a long-lasting reminder that it is possible to build and operate in profitable, sustainable ways without compromising quality; and that Edmonton remains a growing, thriving city through the ups and downs of the economy.

ABOVE: MNP TOWER PHOTO SOURCE: MNP

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INVESTING IN AN UNCERTAIN ECONOMY // FINANCIAL PLANNING

Investing in an

Uncertain Economy

Financial Planners tell us how to protect and grow our money in a shaky economy

BY LAURA BOHNERT

S

tocks are down all over the globe; however, now may be a great time to invest. Here’s why your financial planner may be telling you to invest those funds.

Ron Graham, president of Ron Graham & Associates, suggests that the perfect strategy for investment is to “buy more stocks now, while the prices are low.”

“First of all,” states Graham, “when deciding whether or not to invest, an individual needs to accept the risk of fluctuating prices. If you, as an investor, can’t stand the ups and downs of investments, then you either need to find a way to ignore it, or you need to take your money out of the market and leave it in less risky investments. These investments pay lower returns, so you’ll have to save more money at a lower interest rate to get to the same point, but it is a solution if you don’t like the volatility.”

ABOVE: RON GRAHAM, PRESIDENT OF RON GRAHAM & ASSOCIATES

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INVESTING IN AN UNCERTAIN ECONOMY // FINANCIAL PLANNING

If you do decide to go ahead with your investments, however, being mindful of time can help keep those investments secure. “You need to consider how much time you have to invest,” states Graham. “You want a time frame of at least five years, and preferably longer, before you are going to need the money you’ve invested.”

“The longer the time frame you have before you need the money, the more exposure you can accept in equity markets,” Graham explains. “As a result, the financial risk of stocks going up and down is small over a 30-year period of time while it is very high in a one- or two-year period.”

“There is more financial risk in short term loans,” continues Graham. “As you get closer to the time you need your money, you should be moving more and more of it into less risky investments, or fixed income investments that come due in a short period of time.”

“During times of volatility,” adds Al Nagy, CFP and regional director at Investors Group Financial Services Inc., “it is important to review your reasons for investing in the first place. What are your objectives? Generally, staying the course is of the utmost importance during periods of volatility.

Getting defensive during these times can be costly.”

“The best strategy that can help individuals grow their portfolios when the economy is shaky is to ensure your investment portfolio is built to withstand the inevitable ups and downs of the marketplace,” quotes Nagy. “The tradeoff between risk and return is one of the most important decisions that an investor has to make.”

“A low volatility strategy is designed to produce less risk than the broad market,” continues Nagy. “It allows investors to participate in positive market conditions and potentially shelters their investment from excessive market volatility.”

Of course, as with any form of investment, diversification is another one of the keys to success. “You want to diversify your investments geographically,” Graham explains. “Invest some in Canada and some internationally.

That way, if Canada’s economy is doing poorly, you still have diversified investments to fall back on.”

However, geography isn’t the only form of diversification you need to be mindful of, Graham explains: “You should also be diversified within each country amongst different economic sectors or industries. In Canada, for instance, you don’t want all of your investments in energy stocks. Invest in banks, utilities, energy resources, etc. Diversify.

“One issue for Edmonton, in particular, is that people have a lot of their financial life tied up in the energy sector. Some work for energy and have ABOVE: AL NAGY, CFP & REGIONAL DIRECTOR OF INVESTORS GROUP FINANCIAL SERVICES INC.

BUSINESSINEDMONTON.COM // BUSINESS IN EDMONTON // NOVEMBER 2015

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INVESTING IN AN UNCERTAIN ECONOMY // FINANCIAL PLANNING

“MANY COMPANIES ARE NOT GOING TO GO BANKRUPT; THEY ARE JUST GOING TO MAKE LESS THIS YEAR. THAT DOESN’T MEAN THEY ARE BAD INVESTMENTS. IN FACT, IN SOME CASES, THIS MIGHT BE THE PERFECT TIME TO BUY STOCKS IN THE COMPANIES THAT ARE GOING TO RECOVER WHILE THE STOCK PRICES ARE STILL LOW.” ~ RON GRAHAM lost jobs, some live in Edmonton and their home or property value is dependent on the health of the economy, which is largely dependent on the energy sector. Others have made investments and own a bunch of Edmonton stocks.”

Diversification of funds can help protect you when the economy takes a hit, but you need to consider all of your investments, not just your stocks, for diversification to work properly.

This doesn’t necessarily mean it isn’t a good time to invest in Edmonton stocks, though. “A lot of Alberta investment companies have suffered a decline in value simply because people across the globe have heard that the economy isn’t doing well,” Graham explains. “It’s a knee-jerk reaction. It’s much easier to sell your investment shares than to do the research to find out whether or not the company is going to do well. Many companies are not going to go bankrupt; they are just going to make less this year. That doesn’t mean they are bad investments. In fact, in some cases, this might be the perfect time to buy stocks in the companies that are going to recover while the stock prices are still low.”

“Before investing in any specific sector or geographic location, though,” Nagy explains, “one has to consider the balance between risk and return. The higher the expected return, the higher the risk. Are you looking for growth, or are you seeking value? Using a portfolio approach to properly diversify your assets can reduce the negative effects that any individual security or asset class may have on the performance of your portfolio.

“It’s a big world out there. There are some very strong companies in Edmonton, and by living in this city one becomes familiar with them. It can be tempting to focus on

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NOVEMBER 2015 // BUSINESS IN EDMONTON // BUSINESSINEDMONTON.COM

what is close to you, but it is more important to diversity than to focus on Edmonton alone.

“Also, it’s very important to keep in mind that equities drive asset growth. Even conservative investors should allocate at least 30 per cent of their portfolio to equities. The expected outcome is enhanced returns with similar levels of risk over the long term. As Edmonton is heavily dependent on the oil and gas sector, one has to keep in mind that the performance of companies that rely on these resources can change dramatically from year to year and are not predictable.”

“The main thing is to diversify your portfolio, and in a diversified portfolio, you want to keep some of your investments local,” states Graham, “but make sure you diversify between types of investments, too. Investing in fixed income investments is a good strategy to help protect your money from stock fluctuations. Depending on how much risk you are willing to accept, more or less of your portfolio should be invested in stocks. If, over time, a portion of your investments in bonds or fixed income have increased, it may be a good time to sell the fixed income that went up and buy into some of the equity that has gone down. Then, when the equity markets recover, as they always do, you need to remember to take some of your profits and put them back into your fixed income investments to maintain a balanced portfolio.”

“Financial markets don’t always move in the same direction,” concludes Nagy. “When stocks are rising, for example, bonds may decline in value. Similarly, different types of equities, or even investment styles, are more successful in some market conditions than others. By carefully diversifying your portfolio, you will reduce your risk and improve your chances of surviving the volatile times that the markets are experiencing.”

Alberta HR Trends Report The talent is out there The Hiring Confidence Index (HCI) has rebounded across Alberta organizations in all sectors regardless of size. The index is made up of both an expectation of hiring levels over the next six months, but also the confidence respondents have in finding the right people to fill vacancies. For Human Resources Institute of Alberta (HRIA) has the first time the HCI components moved in opposite directions; the increase in the confidence in finding the right people rose significantly more than theHR decrease in thesurvey. expectation hiring levels. its semi-annual Trends A of valuable tool

H

released the results of for employers and HR

CONFIDENCE

55% professionals, the Alberta HR Trends Report contains practical information 45%

ORGANIZATIONS on ARE whatMORE is happening in Alberta’s labour market and 35%workplaces.

26% CONFIDENT THEY CAN FIND THE 21% 19% RIGHT PEOPLE confident

neutral

worried

JAN - JUN 2015

HIRING

27%

JUL - DEC 2015

“The majority of organizations have not grown their labour force in the first half of 2015, Less than a third of 20%the talent is out there for those nor do they expect to19% do so in the near future. However, NUMBER OF ORGANIZATIONS organizations (29%) expect 12% 12% that they15% that are hiring. Organizations are more confident can find the right people to fill EXPECTING TO HIRE 5%+ MORE available positions,” said HRIA’s CEO, Chris McNelly. their total number of EMPLOYEES DOWN overall employees to increase over oil and gas small business The report provides a snapshot of current labour market information, including the the next six months. challenges and opportunities facing Alberta’s employers and HR professionals.

ALBERTA HIRING CONFIDENCE INDEX

OVERALL

64 62

Temporary layoffs in the last six months tripled in oil and gas sector

This is the fourth Alberta HR Trends Report commissioned by HRIA as part a regular OILof AND GAS PROFESSIONAL series to help fill the labour information void for HRIA members and Alberta employers.

SERVICES

The Alberta HR Trends research initiative was started in December 2013 in SMALL collaboration with Abingdon public opinion research firm.

60

ORGANIZATIONS 60.7

“Alberta’s labour market continues to be impacted by the drop in the price of oil, with

58

fewer organizations reporting a net increase in employment. In the previous HR Trends 58.4

58.1

report, we predicted that temporary layoffs would increase as well and this has proven to

56

be the case,” said Hamish Marshall, Chief Research Officer, Abingdon Research.

54

Following are some highlights from the report.

52

52.3

50 JAN - JUN 2014

JUL - DEC 2014

JAN - JUN 2015

JUL - DEC 2015

HCI DROPPED SHARPLY IN EARLY 2015 AND HAS NOW REBOUNDED

confident

worried

neutral

27% 27%

19% 19%

NUMBER OF ORGANIZATIONS 12% NUMBER OF ORGANIZATIONS 12% 12% 12% EXPECTING TO HIRE 5%+ MORE EXPECTING TO HIRE 5%+ MORE EMPLOYEES DOWN EMPLOYEES DOWN The Hiring Confidence Index (HCI) has rebounded across Alberta organizations in all sectors overall

JUL - DEC 2015 JUL - DEC 2015

20% 20% 15% 15%

The talent is out there HIRING HIRING

JAN - JUN 2015

oil and gas

small business

overall regardless of size. The index is made up of both an expectation of hiring levels over the six oil next and gas small business months, but also the confidence respondents have in finding the right people to fill vacancies. For the first time the HCI components moved in opposite ALBERTA HIRING CONFIDENCE INDEX directions; the increase in the confidence in ALBERTA HIRING CONFIDENCE INDEX finding the right people rose significantly more than the decrease in the expectation of hiring levels.

CONFIDENCE

64 64 62 62 60 60

58.1 58.1

56 56

HIRING

52 52

55% 21%

neutral

58.4 58.4

NUMBER OF ORGANIZATIONS EXPECTING TO HIRE 5%+ MORE EMPLOYEES DOWN JAN - JUN 2014

JUL - DEC 2014

35% 19% worried

JAN - JUN 2015

27% 19%

12%

12% 52.3gas oil52.3 and

overall

50 50

26%

60.7 60.7

confident

58 58

54 54

ORGANIZATIONS ARE MORE CONFIDENT THEY CAN FIND THE RIGHT PEOPLE

45%

OVERALL OVERALL OIL AND GAS OIL AND GAS PROFESSIONAL PROFESSIONAL SERVICES SERVICES SMALL SMALL ORGANIZATIONS ORGANIZATIONS

JUL - DEC 2015

20% 15%

small business JUL - DEC 2015

JAN - JUN 2015

JUL - DEC 2015 JAN - JUN 2014 JUL - DEC 2014 JAN - JUN 2015 ALBERTA HIRING CONFIDENCE INDEX HCI DROPPED SHARPLY IN EARLY 2015 AND HAS NOW REBOUNDED HCI DROPPED SHARPLY IN EARLY 2015 AND HAS NOW REBOUNDED

11

OVERALL OIL AND GAS

64

PROFESSIONAL SERVICES

62

SMALL ORGANIZATIONS

EMPLOYEE TURNOVER AND HIRING EMPLOYEE TURNOVER AND HIRING

Organizationsare aredownsizing downsizing Organizations 60

60.7

58

58.1

58.4

56 54 52 50

TERMINATION WITHOUT TERMINATION WITHOUT CAUSE BECAME THE #1 CAUSE BECAME THE #1 REASON FOR LEAVING AN REASON FOR LEAVING AN ORGANIZATION ORGANIZATION JAN - JUN 2014

JUL - DEC 2014

31% 31% 20% 20%

25% 19%25% 19% 52.3

termination termination without cause JAN - JUNcause 2015 without

JUL - DEC 2014 JUL - DEC 2014 JAN - JUN 2015 JAN - JUN 2015

resignation for a resignation for a better opportunity JUL - DEC 2015 better opportunity

INCREASED HCI TERMINATIONS WITHOUT CAUSE MEANS MANY EMPLOYEES RECEIVING SEVERANCE DROPPED SHARPLY INCAUSE EARLYMEANS 2015 AND HASEMPLOYEES NOW REBOUNDED INCREASED TERMINATIONS WITHOUT MANY RECEIVING SEVERANCE PERCENTAGE OF DEPARTING EMPLOYEES WHO RECEIVED SEVERANCE IN THE LAST 6 MONTHS PERCENTAGE OF DEPARTING EMPLOYEES WHO RECEIVED SEVERANCE IN THE LAST 6 MONTHS

1

44% 59% 45% 45% 44% 59% Organizations are downsizing EMPLOYEE TURNOVER AND HIRING

small organizations small organizations

oil and gas oil and gas

TERMINATION WITHOUTREPORTED A FEWER ORGANIZATIONS FEWER ORGANIZATIONS CAUSE BECAME #1REPORTED A NET INCREASE IN THE EMPLOYMENT NET INCREASE IN EMPLOYMENT REASON FOR LEAVING AN ORGANIZATION

professional services professional services

46% 46% 25% 32% 19% 32%

overall overall termination without cause

23% 23%

public administration public administration

51% 51% 31% 20% 13% 13%

JULJUL - DEC 2014 - DEC 2014 JUL - DEC 2014 JAN - JUN 2015 JAN - JUN 2015 JAN - JUN 2015

oil and gas oil and gas resignation for a better opportunity

72% OF OIL AND GAS FIRMS REPORTED A NET DECREASE IN EMPLOYMENT OF OIL AND WITHOUT GAS FIRMSCAUSE REPORTED A NET DECREASE IN EMPLOYMENT INCREASED72% TERMINATIONS MEANS MANY EMPLOYEES RECEIVING SEVERANCE PERCENTAGE OF DEPARTING EMPLOYEES WHO RECEIVED SEVERANCE IN THE LAST 6 MONTHS MORE TEMPORARY LAYOFFS MORE TEMPORARY LAYOFFS

51%

46% 32%

FEWER ORGANIZATIONS REPORTED A

2 22

TEMPORARY FOREIGN WORKER (TFW) PROGRAM TEMPORARY WORKER PROGRAM TEMPORARYFOREIGN FOREIGN WORKER(TFW) (TFW) PROGRAM NET INCREASE IN EMPLOYMENT

13%

MoreCanadians Canadiansto tofill fillpositions positions More More Canadians to fill positions overall

JUL - DEC 2014 JAN - JUN 2015

oil and gas

72% OF OIL AND GAS FIRMS REPORTED A NET DECREASE IN EMPLOYMENT USE OF TFWs IN OIL AND GAS OVER LAST SIX MONTHS DROPPED USE USEOF OFTFWs TFWsIN INOIL OILAND ANDGAS GASOVER OVERLAST LASTSIX SIXMONTHS MONTHSDROPPED DROPPED FROM 27% TO 17% FROM FROM27% 27%TO TO17% 17% MORE TEMPORARY LAYOFFS Organizations engaged in temporary layoffs in the last six months

21% 21% 21%

26% 26% 26% 33%

MORE ORGANIZATIONS PLAN TO REPLACE

MORE MORE ORGANIZATIONS PLANTO TOREPLACE REPLACE 20% TFWs ORGANIZATIONS WITH CANADIAN PLAN WORKERS 14% TFWs TFWsWITH WITHCANADIAN CANADIAN WORKERS 11% WORKERS

overall

3 33

2

10% 10% 10%

6% 6% 6%

JUL - DEC 2014 JUL JUL- DEC - DEC2014 2014

JUL - DEC LESS 2014ORGANIZATIONS PLAN TO APPLY FOR LESS ORGANIZATIONS LESS ORGANIZATIONS PLANTO TOAPPLY APPLYFOR FOR REPLACEMENT TFWs PLAN REPLACEMENT REPLACEMENTTFWs TFWs JAN - JUN 2015

TEMPORARY LAYOFFS JAN - JUN 2015 - JUN 2015 JAN - JUN 2015 SIX INJAN THE LAST MONTHS TRIPLED IN OIL AND GAS SECTOR

oil and gas

ALBERTA’S MINIMUM WAGE ALBERTA’S ALBERTA’SMINIMUM MINIMUMWAGE WAGE

Wagesand andprices priceslikely likelyto toincrease increase Wages Wages and prices likely to increase TEMPORARY FOREIGN WORKER (TFW) PROGRAM

ORGANIZATIONS’ MOST LIKELY RESPONSES TO AN INCREASE IN MINIMUM WAGE

ORGANIZATIONS’ ORGANIZATIONS’MOST MOSTLIKELY LIKELYRESPONSES RESPONSESTO TOAN ANINCREASE INCREASEIN INMINIMUM MINIMUMWAGE WAGE More Canadians to fill positions ADJUST THE WAGE AND PAYSCALE ADJUST THE WAGE AND ADJUST THE WAGE ANDPAYSCALE PAYSCALE ACROSS THE ORGANIZATION ACROSS ACROSSTHE THEORGANIZATION ORGANIZATION

RAISE PRICES FOR PRODUCTS RAISE RAISE PRICESFOR FORPRODUCTS PRODUCTS AND PRICES SERVICES AND ANDSERVICES SERVICES

65% 65% 65% most likely

62% 62% 62% most likely

ADD HOURS TO CURRENT EMPLOYEES ADD HOURS CURRENT ADD HOURS TO CURRENT EMPLOYEES INSTEAD OFTO HIRING NEWEMPLOYEES ONES INSTEAD INSTEADOF OFHIRING HIRINGNEW NEWONES ONES

REDUCE TRAINING REDUCE REDUCETRAINING TRAINING

likely most likely most mostlikely likelyTFWs IN OIL AND GAS OVER LAST SIXmost USE OF MONTHS DROPPED FROM 27% TO 17%

21%

52% 52% 52% most likely 26% most mostlikely likely

MORE ORGANIZATIONS PLAN TO REPLACE TFWs WITH CANADIAN WORKERS

10%

6%

46% 46% 46% most likely most mostlikely likely

JUL - DEC 2014 JAN - JUN 2015

LESS ORGANIZATIONS PLAN TO APPLY FOR REPLACEMENT TFWs

Did You Know? ONLY 8.2% OF ORGANIZATIONS HAD EMPLOYEES MAKING MINIMUM WAGE

3

Did Know?

ONLY DidYou You Know?

ONLY8.2% 8.2%OF OFORGANIZATIONS ORGANIZATIONSHAD HADEMPLOYEES EMPLOYEESMAKING MAKINGMINIMUM MINIMUMWAGE WAGE ALBERTA’S MINIMUM WAGE

Wages and prices likely to increase

ORGANIZATIONS’ LEAST LIKELY RESPONSES TO AN INCREASE IN MINIMUM WAGE ORGANIZATIONS’ MOSTLIKELY LIKELYRESPONSES RESPONSESTO TOAN ANINCREASE INCREASEIN INMINIMUM MINIMUMWAGE WAGE ORGANIZATIONS’LEAST LEAST LIKELY RESPONSES TO AN INCREASE IN MINIMUM WAGE REDUCE BENEFITS ADJUST THE WAGE AND PAYSCALE REDUCE REDUCEBENEFITS BENEFITS ACROSS THE ORGANIZATION

73% 73% 73% 65% least likely least leastlikely likely

most likely

INTRODUCE AUTOMATION AND INTRODUCE AUTOMATION INTRODUCE AUTOMATIONAND AND NEW TECHNOLOGY NEW TECHNOLOGY NEW TECHNOLOGY ADD HOURS TO CURRENT EMPLOYEES

58% 58% 58% least likely least likely least likely 52%

INSTEAD OF HIRING NEW ONES

most likely

LAY OFF CURRENT EMPLOYEES PRICES FOREMPLOYEES PRODUCTS LAY OFF LAYRAISE OFFCURRENT CURRENT EMPLOYEES AND SERVICES

64% 64% 64% 62% least likely least leastlikely likely

most likely

REDUCE/LIMIT NUMBER OF REDUCE/LIMIT NUMBER REDUCE/LIMIT NUMBEROF OF ENTRY LEVEL POSITIONS ENTRY LEVEL POSITIONS ENTRY LEVEL POSITIONS REDUCE TRAINING

55% 55% 55% least likely 46% least likely least likely

most likely

5

HUMAN RESOURCES PRACTITIONERS

Resolving workplace conflicts MAJORITY OF WORKPLACE CONFLICTS RESOLVED BY HR PRACTITIONERS

70% of grievances and conflict resolved by HR

LARGE ORGANIZATIONS SPEND MORE RESOLVING DISPUTES

62%

72%

73%

for small organizations

for medium organizations

for large organizations

$1,167

$1,253

average cost for small organizations

average cost for medium organizations

$4,250 average cost for large organizations

MEDIUM ORGANIZATIONS RESOLVED COMPLAINTS FASTEST complaints resolved in less than

2 months

40% for small organizations

68%

for medium organizations

49% for large organizations

Did You Know? CHRPs MAKE A DIFFERENCE IN RESOLVING COMPLAINTS AND GRIEVANCES

COMPLAINTS RESOLVED BY HR DEPARTMENT complaints resolved in less than

1 month

TIME TO RESOLVE UNION GRIEVANCES

74% 59% CHRP

Non-CHRP

31

days by CHRP

37

days by Non-CHRP

SURVEY METHODOLOGY

This HRIA member survey was conducted online between June 11 and 26, 2015. We invited 5,473 members to participate via an email. Of survey respondents, 826 completed enough of the survey (15.1% response rate) for their responses to be useable and 599 respondents completed every question (10.9% completion rate). The margin of error full copy the September 2015 Alberta HR Trends report varies A between +/-of3.1%, 19 times out of 20 and +/- 3.8%, 19 times out of 20.

is available online at hria.ca.

SMALL ORGANIZATIONS = LESS THAN 100 EMPLOYEES | MEDIUM ORGANIZATIONS = 100 TO 999 EMPLOYEES | LARGE ORGANIZATIONS = 1000 OR MORE EMPLOYEES

The next HR Trends report is scheduled to be released in March 2016.

About the Human Resources Institute of Alberta: READ FULL REPORT

HRIA is the leading professional association for human resources practitioners in Alberta dedicated to the advancement of the HR profession. As

410, 1111 11 AVE SW CALGARY, AB T2R 0G5

Alberta’s exclusive granting body for the Certified Human Resources Professional (CHRP) designation, HRIA plays a critical role in establishing P 403.209.2420 T 1.800.668.6125 F 403.209.2401 professional standards within the industry. HRIA connects over 6,000 HR practitioners, including over 3,100 CHRPs across the province through

various professional development, networking, and community initiatives.

Human Resources Institute of Alberta

@HRIA

HRIA.CA

SENTINEL STANDS STRONG FOR 40 YEARS

BY NERISSA MCNAUGHTON

S

entinel – a solider or guard that stands watch. He’s silent but ever vigilant; professional, smart and helpful. When you see that solider, you smile. He instils confidence that you are in the right place and you are safe. In 1975 a group of investors from Grande Prairie changed the way Canadians thought about self-storage by introducing the concept, and the mascot, of that stalwart, trustworthy solider when they opened Sentinel Storage.

Sentinel Storage is Canada’s largest Canadian-owned self-storage chain with 23 locations stretching from coast to coast. The first facility opened in Grande Prairie, with Edmonton (Winterburn) following a year later. The Edmonton facility was the one that introduced the now iconic bright orange doors.

Yet it wasn’t easy getting started. The investors saw the concept in the States and knew it could have a good future in Canada.

City officials weren’t so sure. “They were just unaware of the concept,” explains Karen Bodoano, operations manager. “They wanted to put us in the back of industrial parks.”

Chiong Lee, Karen Bodoano, Bill Bowes and Shelley Bowes.

SENTINEL STORAGE |

| PAGE 1 59

Modern offices to serve customers.

That’s not what the investment group wanted. They envisioned safe, clean storage units in highly visible areas – so that’s what they built.

All of Sentinel’s facilities are built on the values of security, convenience and access. Sentinel is more than a place to store your items. It’s a place that works hard to make storage and moving as stress-free as possible.

Courtesy trucks available, plus packing materials for sale.

“Moving is one of the top three stressors in life,” Bodoano points out. “People’s stuff means a lot to them emotionally. We deal with very stressed people, and we help them. A Sentinel unit is like a fancy condo for your items! I refer to them as ‘safety-deposit boxes.’ It’s so rewarding when someone comes in who was stressed and we get to see them relax knowing they made a good decision and their items will be fine.”

SENTINEL STORAGE |

| PAGE 2

The waste we collect today can be the solutions for a better environment in the future.

Congratulations to Sentinel Storage on 40 great years!

Thinking beyond today

www.progressivewaste.com

HAPPY 40TH SENTINEL STORAGE! Top Draw proudly congratulates Sentinel Storage and the amazing team responsible for their continued success.

It has been a privilege to be their online marketing partner for 12 years and counting. We look forward to collaborating for 40 more!

CO

NG

R ATU L AT I O

NS

Wishing you ceaseless storage successes for years to come! topdraw.com

Whatever your business, whatever its size, CHS Benefits has got you covered.

Congratulations to Sentinel Storage on 40 Years of being an Industry leader!

3175 Manulife Place 10180 -101 Street • Carl H. Shields (780)415-5759 • Graham H. Shields (780)415-5754 www.chsbenefitsconsulting.com

SENTINEL STORAGE |

| PAGE 3

Sounds futuristic? Sentinel was ahead of the curve. “We did that in the ’90s,” smiles the manager.

And that’s not all.

“We have heated and unheated units and RV storage. A business centre at Edmonton (Argyll) has 30 offices that can be rented month-to-month. Each facility has a courtesy moving truck for the clients to use.”

Knowing this, it’s not a surprise that the energetic company has earned a 91 per cent extremely satisfied rating from their customers. “That’s powerful,” says Bodoano. “It’s about the experience for the customers and that is what comes through over and over again in our customer satisfaction surveys.”

State-of-the-art large heated enclosed loading areas.

It’s not just the customers that are satisfied. “I know my staff are exceptional.

I think they are the best in the industry – but I may be biased!” jokes Bodoano; but it doesn’t take much to see that the staff truly are at the top of their game.

President Bill Bowes has helmed the company for 35 years and construction manager Chiong Lee recently retired after 30 years. This longevity is not uncommon among Sentinel staff.

“Bill’s an amazing leader,” says Bodoano with a huge grin. “He is someone that understands the need to put a team together and give everyone a distinct role. Bill has been so forward-thinking.

He sees five years down the road and plans where the company is going.

He sees the forest and the trees! He empowers the whole staff.”

Secure concrete and steel construction.

Sentinel Storage was never content to simply provide storage solutions. The spirit of innovation and excellence in customer service is a relentless drive that each team member participates in daily, from president Bill Bowes to the managers who live at the facilities.

“We are the first self-storage Canadian company to adopt technology from the States called individual door alarms,” informs Bodoano. “It works in conjunction with our access system. If you code in at the door, it only lets you access your unit and nothing else. Then it rearms the door when you leave.”

SENTINEL STORAGE |

| PAGE 4

The staff of approximately 50 were honoured for their decades of service with a 40th anniversary party in Canmore.

“All the full-time staff went to Canmore for a three-day retreat,” said Bodoano, proving – once again – that Sentinel’s big-picture approach to internal and external factors is what has created such a well-rounded, successful company.

Speaking of external factors, what does self-storage have to do with multiple sclerosis (MS)? Quite a lot, it turns out. Fourteen years ago a Sentinel staff member was diagnosed with the disease.

In response, Sentinel raised a team for the MS Bike campaign – and they never stopped pedalling. Bodoano explains, “Through staff, customer and vendor support we average $18,000 a year [in

The spirit of innovation and excellence in customer service is a relentless drive that each team member participates in daily, from president Bill Bowes to the managers who live at the facilities. donations]. Four years ago we became the event’s official sponsor.

We are pretty excited about that!”

For the most part, self-storage flies under the radar, but when the reality TV show Storage Wars hit the airwaves, everything changed.

The show depicts professional “treasure” hunters bidding on storage units that have been abandoned by the owners. Drama and hilarity ensues as valuable, rare items and curiosities literally spill out of the lockers and into the hands, and pocketbooks, of the hunters.

Not so much, Bodoano points out.

Sentinel Storage has worked hard to dispel the myths and perception that self-storage is all “garages in industrial parks”

Congratulations Sentinel Storage!

Proud supporter of the Canadian self storage industry. www.findstoragefast.com

DOUG MURRAY, BA, LLB, CFP Barrister and Solicitor Doug S. Murray Professional Corporation

Congratulations!

The whole Team from Nordic is very proud to congratulate their friends over at Sentinel Storage on 40 years of excellence and innovation!

4143 – 78 Avenue T: 780.469.7799 • F: 780.469.1568 www.nordicsystems.ca

Congratulations Sentinel Storage on 40 years of successful growth.

147, 10403 - 122 Street • 780.732.3311 Corporate • Commercial Transactions • Commercial Real Estate Residential Real Estate • Wills and Estates

Congratulations on 40 years of growth and success in the storage industry! www.rmmoving.ca SENTINEL STORAGE |

| PAGE 5

SENTINEL OPENS STATE-OF-THE-ART FACILITY State of the Art Facility Rabbit Hill Road + Anthony Henday Opening December 2015. Photo courtesy of Sentinel Storage.

To your continued success Congratulations to Sentinel Self Storage celebrating 40 years in business. Wishing you continued success from RBC Royal Bank.

Sentinel Storage’s newest facility is set to open in Edmonton (Windermere) in December 2015. This state-of-the-art facility will offer over 900 climate controlled storage units ranging from 5’x 5’ to 10’ x 35’. It also features a large four-vehicle headed indoor loading bay, two 10’ x 10’ freight elevators, a courtesy moving truck and on site managers. Secure access will be from 6 am – 11 pm, 365 days a year.

and that people stuff their belongings into lockers and abandon them. “Less than one per cent is seized or sold,” she says firmly, cringing at the way the show dramatizes the simple act of self-storage. “Ninety-nine per cent of our clients pay their bills. It’s unfortunate that the show brings to light something that is not very positive. [The show] does not depict the norm.”

Sentinel Storage has done more than challenge and change the “norm.” They invented it in Canada. The company stood firm when officials wanted to tuck them out of sight. They brought in technology and processes to ensure the best options for each client. They go above and beyond for the well-being of the staff – and they make sure your belongings are safe and sound until you are ready to move them home.

“Thank you!” Bodoano says to the staff, vendors and everyone else who inspired and committed to Sentinel Storage. “Thank you for trusting us. We wouldn’t be here for 40 years in business if you didn’t continue to support us.”

The sentinel stands at attention at each facility across Canada. He’s strong and he’s silent, but he’s smiling because he knows he’s doing a great job of protecting you and your goods.

6 Convenient locations: Argyll • Kingsway • North • West • South • Windermere www.sentinel.ca ® / ™ Trademark(s) of Royal Bank of Canada.

SENTINEL STORAGE | 93278 AD_30075_4C_L.Ring_E.indd 1

30075 (05/2015)

| PAGE 6 9/23/15 12:01 PM

Three generations strong - Konrad, Kurt Jr. and Kurt Sr.

Universe Machine: Half a Century Strong

By Nerissa McNaughton

With 50 great years behind them, Universe Machine is on top of the world.

“I

was kind of an entrepreneur as a kid. I had a little business raising rabbits back in Germany. I always had that dream of having my own business. That’s how it started,” says Kurt Feigel Sr., founder and president of Universe Machine.

Feigel Sr. launched the company alongside two business partners in 1965 and has never wavered from their mission to “manufacture, modify and repair steel products for the oilfield, petrochemical, mining, forestry and related industries.”

“We’ve enjoyed steady growth over the years,” Feigel Sr. says.

“50 years in business, and we never had a losing year. We came through, even during the low times. There were other operations that grew faster than us, but most of them are not around anymore. There is always a danger in growing too fast.”

Along with sustainable growth, Feigel Sr. credits the Universe Machine values of honesty with employees and suppliers, using technology to provide products at competitive prices and creating a healthy work environment for the staff as a big part of the company’s success.

That’s not the only way the company has provided outstanding service for half a century. Kurt Feigel Jr., Feigel Sr.’s son and company’s general manager says with pride, “We want to do the job right, or we won’t do it. We are known for that. Our customers trust us.”

Feigel Jr. started at the company as a child, cleaning and doing odd jobs at the shop. It was always his plan to join his father’s company.

Universe Machine | 50 Years | 1

65

Valve Repair and Modification Division “I gave him no choice!” jokes Feigel Sr. “I enjoyed it!” Feigel Jr. banters back.

In 1965, the company had just three employees – Feigel Sr. and his partners. Today, 125 employees engage in valve modification and repair, machining, welding, fabricating, millwrighting, laser/PTA heat treating & cladding. The state-of-the-art shop is neatly segmented into divisions for maximum efficiency, and houses an incredible array of equipment.

Not only can some of the largest metal working machinery in Western Canada be found here, but Universe Machine also has numerous innovative patented products which it designs and manufactures on site. These include hydraulic power tongs and backups, friction bite units, pneumatic kelly spinners, hydraulic power units, valve testing equipment, and waste shredders.

A walkthrough their offices and a tour of the large plant reveals outstanding organization, efficiency and cleanliness. Employees smile. It’s busy. It’s impressive but for the Feigel’s, it’s all in a day’s work. “It’s how we stay ahead of the competition,” Feigel Sr. smiles.

The smiling employees are another part of Universe Machine’s success story.

“We have very qualified, long term employees that are quite knowledgeable. It’s about quality,” says Feigel Sr. of his staff.

He goes on to say that the ideal employee for him is one that is willing to work and listen. “Give us your best and we will reward it,” says the company president.

“It’s a challenge to get good employees,” admits Feigel Jr. “When you have them, it’s a lot easier to run operations. It’s like the saying ‘happy wife, happy life’. Happy employee, happy business!”

U

niverse Machine’s longest term employee, besides Feigel Sr., was John Paul Duvoid, who started as a machinist in 1969 and served as divisional manager from 1990 until his retirement in 2014 (45 years).

Score Valves wishes to Congratulate Universe Machine on 50 outstanding years.

We are genuinely proud to be associated with your team and company.

9821 - 41 Ave. NW T (780) 466-6782 F (780) 465-6979 www.scorevalves.com

Successful growth inspires us all.

Congratulations to our client Universe Machine Corporation on 50 years of remarkable growth.

Audit • Tax • Advisory © Grant Thornton LLP. A Canadian Member of Grant Thornton International Ltd

Universe Machine | 50 Years | 2

THIS AD PREPARED BY: FILE NAME:

RYAN EDWARDS UNIVERSEMACHINCE50TH

Products Division The Feigels have done their fair share of teaching on the shop floor, but that willingness to listen and learn is not just for the employees. Feigel Sr. takes that lesson to heart as well. “If you listen, you find answers. Some people have a problem with listening,” he counsels. “You have to give until you get. In other words, you have to be an example to others around you and treat them right. You will be rewarded by them doing a good job.”

Feigel Jr. agrees with his father but also has a slightly different take on the company. He spearheaded the implementation of computer and software systems at Universe Machine, and as the young up-and-comer, it was a challenge.

“People don’t like change. It was a very slow process,” he remembers; but the general manager was adept at working with, not against the grain. “People don’t really change very much, so you have to learn to work with their strengths.”

Never one to rest on his laurels, Feigel Jr. is excited about the next half a century for Universe Machine. “We are constantly looking at improving across all divisions. When things are slow

Congratulations to Universe Machine Corporation On their 50 years of success.

Proud to be long term Testing and Quality program partners.

Non-Destructive Testing • Valve inspection specialists 2450-80 Avenue • 780-469-8333 • www.RivestTech.com

Congratulations to Universe Machine for 50 successful years in business!

Kemway is proud to partner with companies who share our values.

Design/Build Construction Management General Contracting INTEGRITY | TRUST

| QUALITY

kemway.com

Universe Machine | 50 Years | 3

Machining and Welding Division we shift into R&D mode to retain our staff and improve our services and products.”

“Given that our vision is stay one step ahead, we will remain a leader in the industry,” adds Feigel Sr. As one can expect, a company with five decades under its belt has some memorable moments. For Feigel Sr., one of those moments was being asked to machine a heart implant valve in 1966. “I machined the first heart implant valve that was used in the University of Alberta!” he says with a huge grin. “I have no idea why they came to us. We were just a tiny machine shop at the time. They brought me the material and had a drawing.

They said, ‘can you machine this?’ I said, ‘sure’.”

Some of their work is truly out of this world.

“We’ve built valves used in the NASA launch facilities as well as for pipelines across Canada” Feigel Jr. says.

When Universe is not making history in hearts or space, you can find their products across Canada and in many other countries including the United States, Russia, China, South America and the Middle East; and when the employees are not creating products for world-wide application, you’ll find them just as hard at work in the community.

In 1969, Feigel Sr. was one of the founding members of the non-profit Shepherd’s Care Foundation, a recognized leader as a senior’s and an aging-in-place care facility. Shepherd’s Care Foundation now employs 700 people and cares for over 1,700 residents. Feigel has been on the board for 46 years and was also the chairman for many years.

Universe Machine also supports the Department of Mechanical Engineering at the University of Alberta and the machinist program at the Northern Alberta Institute of Technology (NAIT).

The company sponsors several golf tournaments annually, as well as contributing to various local charities.

Speaking of golf, it’s a sport both Feigel Sr. and Jr. enjoy. Feigel Sr. golfs after stepping away from 60 years of playing soccer

Congratulations to Universe Machine!

Here’s to another 50 years of success!

From the staff at Acadian Metal Finishers (1984) Ltd. 5624 94A St NW, Edmonton, AB T6E 3E4

P:780.435.7695

Universe Machine | 50 Years | 4

Congratulations Universe Machine!

We are proud to be a part of your success!

TEAM Industrial Services 8525 18 St NW, Edmonton AB T6P 1K4 www.teamindustrialservices.com

(“from age 9 to 69,” he grins) and Feigel Jr. enjoys racing and instructing in the world of high performance driving.

Universe Machine is well rounded inside and out. The vision and leadership of the Feigels have created an incredible company with outstanding values and world class products. It has been recognized by a Pinnacle Award for being the best machine shop in Alberta, and achieved numerous licences and certification over the years.

The Feigels say it just comes down to good long term employees and supportive customers.

“We are very fortunate to live in such a great province and country,” concludes Feigel Sr. “Thank you clients, staff and stakeholders for all your support!”

5545 - 91 ST NW Edmonton, Alberta Phone: (780) 468 - 5211 • Fax: (780) 468 - 5430 www.umcorp.com

Congratulations Universe Machine on 50 Years!

We are proud to be part of your success!

“The Precision People” Dies • Moulds • Wire EDM • CNC Machining • CNC CMM

www.albertaoverheadcrane.com

Congratulations Universe Machine!

Here’s to 50 more years!

Congratulations to Universe Machine!

We wish you many years of continued success.

5921 87A St NW • 780-465-6006 • www.controldrillingservice.com

C & T Tool & Machine Inc. 757 O’Brien Drive Unit 2 Peterborough, Ontario K9J 6X7, Canada Ph: 705-742-1591 • Fax: 705-742-0824 gsampson@primus.ca • www.cttoolandmachine.ca ISO 9001 Registered Co.

Universe Machine | 50 Years | 5

Congratulations Universe Machine on your 50th Anniversary!

Pressure Vessel Components | Petrochemical Refinery Maintenance | Large-scale Machining | Heat Exchangers | Steel Plate

Since 1975, Edmonton Exchanger has strived to provide top quality products and services to the oil and gas, petrochemical and power generation industries. Our strong commitment to safety, quality and innovation ensures that we remain an industry leader today, and in the future.

We’re 40 years strong, and the momentum is building!

www.edmontonexchanger.com

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